Selling a Foreclosed Home: What You Can Do (And What You Can't)
What You Can & Can’t Do When Selling a Foreclosed Home
When you’ve reached the point of foreclosing on your home, it can be difficult to understand what step to take next. There are certain regulations that come with selling a foreclosed home, and you may not be aware of some of the guidelines.
When you’re planning on selling a foreclosed property, it’s important to be informed of what you can and can’t do if you’re asking yourself, “How does foreclosure work?”
How Does Foreclosure Work?
The foreclosure process begins when you receive a notice of default once you miss at least five payments. Foreclosing on a home can take an average of six to 12 months to complete. In some cases, it can take more than a year to finalize when you’re attempting to negotiate with the bank or financial institution.
Can I Sell My Home If It Is in Foreclosure?
You may be wondering, “Can I sell my home if it is in foreclosure?” Once you start foreclosing on a house, you can earn enough off of the property to repay everything you own to the lender.
If you’ve make the decision to list your home, communicate to the lender that you’d like to delay the foreclosure auction or sale to determine if you can find a buyer. This step can buy you enough time to earn more money off of the property. You should know how much time the lender gives you to sell the property before it goes up for auction.
Hire a Realtor
Many people are unaware that they can hire a real estate agent to help them sell their home when they’re foreclosing on it. The agent will be able to inform you of how much it’s worth and can run a market analysis to ensure you can price it correctly. They’ll be able to give you an idea of how much money you’ll get and if you’ll earn enough of a profit to pay off the mortgage.
When you obtain the professional’s services, you can also expect them to negotiate with your lender to avoid having to pay as much on the short sale. It’s important to find a realtor with experience in foreclosures to avoid issues.
Stop the Foreclosure
Fortunately, there are still several ways you can halt the foreclosure and prevent it from going through. If you’re on good terms with the lender and communicate, you can convince them to restructure the loan to make it easier to repay the missed payments in the future.
You can also ask for forbearance to temporarily reduce or suspend the monthly payments. Before foreclosing on the property, you can also sell your assets and take your valuables to a pawn shop in an attempt to catch up on the payments. You can also ask to borrow money from a family member.
If you are looking a quick and hassle free option, consider working with an investor like Flash Realty Solutions. We purchase properties in any condition as-is. We pay cash and do not charge miscellaneous fees, so the amount we offer is the amount you get to start paying down the loan, fees and penalties. You may even get enough to use towards a new home ro future rent. Contact us today to get a no-obligation quote for a cash offer on your home. We can provide you with more information when you’re in the process of foreclosing.