If you are facing pre-foreclosure, you’re probably thinking about selling your house. And chances are you’ll want to act fast to avoid the negative impacts of a foreclosure. But you may not know where to begin. In fact, if you’re reading this, there’s a good chance you’re doing your research on “how to sell my house fast.”
Whenever the economy is less than ideal and financial times are uncertain, many homeowners face economic hardships, and foreclosures are more common. The one good aspect is that foreclosures don’t happen overnight, which means you have some options.
If you are in a situation where keeping your home is no longer possible, you will want to try and get as much equity out of your house as you can. If you end up losing your home in a foreclosure, the equity you built will be gone. In order to avoid this, you need to act fast.
What Is Pre-Foreclosure?
Before a lender can foreclose on a home, they’re required to notify you your account is delinquent and foreclosure imminent. You can receive a Notice of Default letter if you haven’t made mortgage payments in the last three to six months. This gives you the opportunity to bring the mortgage up to date by paying your missed payments and any late fees. But what if you can’t afford to bring the mortgage up to date? Or what if you have other reasons to sell, like an underwater mortgage? Then, it’s probably time to get some advice on “how to sell my house fast.”
How to Avoid Foreclosure
The best way to avoid a home’s foreclosure is to pay off any past due amounts and bring the mortgage back into good standing. Of course, most homes wouldn’t be in pre-foreclosure or foreclosure if this were possible. When the money just isn’t available, many homeowners feel they have little recourse other than to let the bank foreclose on their home. Thankfully, there are other options to consider before foreclosure happens, including selling your house for cash.
When refinancing and other conventional methods aren’t available, there are two ways home investors can help:
Arrange a short sale to sell your home. This requires permission by the lender in the form of an agreement stating their willingness to accept a reduced amount as payment for the loan to prevent foreclosure. Quick sales are notoriously anything but ‘quick’ and can take months to conclude.
Make an offer to buy a house that is in pre-foreclosure status.
Home investors work on a cash basis and can quickly purchase almost any home for sale. Many transactions take only one to two weeks to complete. The reason why selling to home investors is preferable over a foreclosure is because it enables a homeowner to pay off a mortgage without negatively affecting their credit rating. It also allows a homeowner to get out from under property they obviously can’t pay for any more without continuing to increase the amount of defaulted payments. Most importantly, it allows a homeowner to receive any equity they may have in the property if they’ve owned it for a while.
Before feeling that all is lost when the pre-foreclosure notices begin to arrive, a homeowner should instead begin to consider how to sell their house fast. Those who want an answer to the question “How can I sell my house to avoid foreclosure?” should call a professional home investor – the sooner the better. Avoiding foreclosure is easy for those who want to sell a home fast, as long as they act quickly!