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Should I let my House Foreclose?


This often is a question many homeowner's ask themselves when they find themselves facing some tough decisions.

Not Sure What Decisions to Make...

  1. What can I/we do? I can't afford this house anymore.

  2. Our home flooded and the cost to renovate is too much.

  3. Insurance won't cover the damage(s).

  4. My significant other / family member passed away.

There are many other battles people face. It saddens me that many people feel there is no solution. When my father passed away we faced some very similar questions. The difference is not many people know they have options and foreclosing does not have to be one of them.

What are my options?

  1. You can call the bank and ask to do a "short sale."

  2. Deed in Lieu of Foreclosure, this is where the lender could possibly pay you to move out quickly and leave the home in good condition, they might even you pay the cost of moving into a new home.

  3. You can sell your home to an investor depending on how much you owe.

  4. You can ask the bank to work with you on payments while you find a solution.

  5. You can work with with the lender on a loan modification.

It all boils down to communication. If you need help or need support please contact me! I would love to help you. There is a solution and foreclosing does not have to be one of them.

What happens if I let my home Foreclose?

  1. Your credit will take a hit.

  2. Lenders will be hesistant to let you borrow in the future.

  3. Often there is a tax penalty associated with foreclosure that people are unaware of.

  4. You are still liable for the home and are the legal owner until the home is sold in auction.

  5. A deficiency judgment can be filed and the lender can hold you responsible for the difference between the amount you still owed on you mortgage and what it was sold in the foreclosure auction.

Before you walk away please consider contacting us and helping you find a solution. To get more information feel free to contact us. Please note we are not attorney's and do not give legal advice. For legal advice please consult your attorney.

I'd love to help you! Call/Text - (832) 460-6670 | Email Me - alexa@realtyagent.com Apartment Locator | Alexandra Torres with J. Lindsey Properties

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