Getting behind on mortgage payments is one of the scariest experiences a homeowner might encounter. The stress of not knowing whether you’re going to be okay will ruin anyone’s sleep. Tension fills the mind like water in a sinking ship, all while threatening letters continue showing up in the mailbox. For these homeowners, it’s important to remember there’s always a way out.
Put simply, the solution is to sell the house. Waiting is the worst strategy for troubled homeowners. After all, the longer they wait, the more difficult it will be to shuck off the pressure. The scariest part of the entire situation is the fact that these homeowners want help. It’s the same story every time: getting laid off because the economy is down (not their fault), yet needing to support a family.
If things get to that point, consider coming to We Buy Houses As Is. We’re in the business of helping homeowners get out of troublesome or dangerous financial situations. Our team of experts ensures that the Sale Neosho MO client gets the best deal on selling their house by doing counteroffers.
Understanding Your Situation
Falling behind on mortgage payments is a high consequence event. One is the most obvious: the risk of foreclosure. When a person in the United States misses mortgage payments, the borrower may choose to follow a legal process called “foreclosure” by which it may force the sale of a home ( “foreclose” the mortgage)” to recover money due to missed payments. The process of losing a home to foreclosure typically does not happen overnight (every U.S. state grants homeowners a “right to redemption”, which varies by state). When in the throes of losing a home to the foreclosure process, most people under this type of stress are likely to feel an uncomfortable degree of uncertainty at best, with worry at worst. Everyone with a mortgage payment riding on the outcome should understand the mortgage foreclosure timeline and process.
There is the second problem here too. Aside from the fact that foreclosure means being at risk of losing a home, missing mortgage note payments is a bad credit move. That is it in a nutshell. It’s going to harm a consumer credit score—one of the components of how credit scores work (i.e., a key factor in credit scoring is payment history; i.e., hopefully, a record of no missed payments on an account in more developed countries). Missed payments lead to a low credit score.
A low credit score affects a consumer’s future ability to borrow money (see origination above) or at the very least, the interest rate at which she borrows. It’s a “feed the rich, starve the poor” lender model. In many cases, borrowing is “securitized”—see financial engineering, structured finance, and derivatives related to securitization below.
It is very “normal” for consumers to be “remedial”—to ignore the fact that they are having trouble making payments on their mortgage. It is nice to know that if missing a mortgage payment is “eating” at a homeowner, with correct timing, the homeowner may have options available. Borrowers typically have not “written their last loan modification”—the last paragraph in the current Missed Payments item and the previous Action for “Free,” “Modify” (Some) “Agreement,” the Permanent Fix. One is about to uncover a lot of novel information in this narrative about a little known problem that most homeowners, seriously “underwater” with negative equity right now, never belonged.”
Why Selling Your House Fast is a Viable Option
There are significant benefits to selling your house fast, especially for those in financial duress.
The most urgent reason to sell would be to avoid foreclosure. The letter has come in that you are months behind, and if you don’t pay the full amount soon, they will repossess your property and force you to vacate. This is one of the most stressful experiences a homeowner can have. Nobody wants to think they will lose their home, but every year, millions of Americans do. In fact, one out of every 200 homes will be foreclosed upon, according to recent studies.
One of the ways you can avoid this is actually quite simple. Just sell your house as is for cash before the bank gets to it. Sell your house fast, you can get a new place with the money you made, and start fresh. It’s that simple.
Most homeowners are unaware of this tactic because they may not have a realtor who is thinking to do that, let alone one who can sell their house fast.
Financial duress can come in different forms.
It can come with:
Constant bill chasing Maintenance costs you can’t keep up with
- A costly divorce
- Few job prospects
- City violation fines
- Probate court
In fact, recent studies of current American homeowners reveal that there’s a nationwide trend of Americans living beyond their means due to mounting expenses that just weren’t as high years ago.
Foreclosure Prevention Strategies
Establish open lines of communication with lenders. One of the first things to do when facing financial difficulties is to contact the people who have loaned you money. This way, you can discuss with them the problems you may have with repayment. Most of these institutions have systems in place to help. In all likelihood, these modification systems will permit you to get on top of your financial hardship. For a short period, you may be able to get temporary forbearance, or the program may provide you with a new repayment schedule that makes it all a bit more affordable.
Attempt to have your loan rearrated. Try to get the terms of your record rearranged by the ban. Discuss if it is at all feasible for them to bring down the interest rate they are slaughtering you with. See if the bank could for some period suspend or reduce some of the account payments. Request a term change to expand the time of the repayment schedule so that your income can deal with the repayments. The reality is that the bank has already lent you that lump, and they won’t want the obvious—their lawyers getting in touch. But if you let that happen, shame on you. Yes, they will try to foreclose, but you must not let that happen. Some will cut the fat off the loan. Really. Some lenders will forgive a portion of one individual’s debt to allow the overall situation to improve. You will have to present DOCUMENTS (taxes, payslips, bank statements) up the wazoo, but it is at least doing something that can help you out of the mess one gets into when faced with foreclosure.
Sell the house quick. At the end of the day, the last thing you want is the house to default on the mortgage. Avoid foreclosure by just getting out. Sometimes that is necessary. There are some good companies that buy for cash, like this one. If you are remotely thinking about that process, please contact these people. “As Is” means you don’t have to do much else to the place, and because 1) you are dealing with the company directly (no agents involved), and 2) there are no realtor commissions, you may save a fair deal more than you thought. And it is a lot quicker and easier to get out of it anyway.
In short, talk to the jurisdiction about what they can do to help you prevent foreclosure from happening. Give the house away, sell your mother; ANYTHING but foreclosure. Maybe you will have a new respect for the mail lady, face up each morning, and let that be the most daunting task of the first hour of the day in your life. Well, it sure beats doing time in criminal FEDERAL prison, which is where one ends up around two alleys down if you are not careful.
The Marysville Real Estate Market
The Marysville real estate market has had notable variations lately, due to interest rate environments and real estate inventory (supply) and demand (consumers seeking to purchase homes).
At present, much of the market contains rising home prices AND competitive activity (bidding wars, bully offers, etc.) amongst buyers. This makes selling your home a “timing” game. Some listings, where homes are priced right and marketed well, sell quickly. Others, where homes are inconveniently located or not staged well to sell, take longer to sell, or they may suffer price reductions through price-based competition.
Every homeowner that enters a “hot” housing market, characterized by bidding wars, hopes to be on the selling side of the equation, possibly with different living arrangements. In this ideal scenario, you hold an auction at your house, you award the highest bidder with the purchase and sale agreement after a well-hosted “event,” and you simply collect your gains, TAX-FREE (as a primary residence), and move on to your next life chapter.
However, as you might guess, it’s not always that easy for some people.
It’s crucial to act quickly if you find yourself falling behind on your mortgage payments. If you put off taking action, you may allow some serious consequences to pile up, such as foreclosure, which can severely impact your credit score and financial future. The sooner you take heed of your mortgage issues, the more ways that you can potentially cover up the auditable damage and hopefully be well on your way back to handling your financial situation once again.
Here is one idea: how about selling your home to a company that specializes in buying houses as is? Doing so can be a fast and easy way to unload your debt, having to get rid of your unwanted stuff without dealing with too many mind-boggling negotiations with clients or annoying listing and selling fees tacked on by real estate agents who secretly just want another sale. All of a sudden, you can clear away your massive security debt, and voila — you’re back to a clean slate!
Finally
And We Buy Houses As Is knows just how to do…two!
We’re here to help sell your house issues — fast. We know that your house is probably the unwanted ordeal on your bucket list right now, so we wouldn’t keep you on the hook for a bunch of after-the-fact guidelines and mindsets about it. All you have to do is simply sit back, relax, and let the pros handle it. I mean, why stress over something you don’t even want anymore?
If you’re ready to take your first step towards financial relief and a more “house-less” future, don’t hesitate to reach out. We can’t wait to hear from you. Let us stock up for the sell. So, book a quick call today with us at +1 206-291-6117 to get started on selling your house fast and a little bit more peace of mind.