With millions of homes across the country potentially going into foreclosure due to the COVID pandemic, it’s important for both buyers and mortgage holders to understand the process.
So what is a pre-foreclosure in Murfreesboro anyway?
Many homeowners across America and Murfreesboro are facing difficulties making their monthly mortgage payments.
When a homeowner misses 3-6 months of mortgage payments, the lending institution will typically issue a warning, notifying the homeowner to pay or lose their home. This period is known as “pre-foreclosure.” With the government mandated forbearance in place right now it’s a different game but we all know it’s just a matter of time..
If a homeowner fails to make the necessary payments, the bank will foreclose on the home, assuming ownership, and evict the homeowner. Thankfully, during this stage of the foreclosure process, a mortgage holder has the opportunity to take advantage of several options to prevent losing their home.
Pre-foreclosure Options for Borrowers
If you’re behind on mortgage payments, you’re going to receive a “notice of default” from your mortgage lender.
This document will state that you have not made mortgage payments for the last 90-180 days, etc.
You have options that can delay or even prevent losing your home:
- If your mortgage is “above water,” (meaning you have equity in your house) you may be able to refinance your mortgage. Check with your local Murfreesboro mortgage broker… or contact us and we can connect you with a reputable one.
- You may be able to quickly sell your home to a reputable cash buyer in Murfreesboro like us at Provision Homes. We can buy your Murfreesboro TN area home in the as-is condition, often inside of a week or two. We make the overall process as simple as possible which takes the stress out of trying to find a buyer. Plus, leave all you unwanted stuff behind.
- If you are upside down we may be able to negotiate a “short sale” for you. This is where you owe more that the house is worth. We have been successful in getting the bank to forgive the difference.
- Some folks will file for bankruptcy to buy time if they think they can come up with the money to get caught up, but bear in mind that bankruptcy will remain on your credit report for years.
- If you are proactive there may be time to list the house as-is on the MLS. There is a shortage of properties right which works in your favor for getting the property sold.
A foreclosure can negatively affect your credit score by 200-400 points and can prevent you from obtaining a loan of any sort for 5-7 years, so you really need to take a Notice of Default from your lender very seriously.
But if you’re not able to find a solution with your lender working directly with them… connect with us. We can help.
Ways We Can Help If You’re In Pre-Foreclosure
- We can potentially help with a short sale – Submit your info on this website so we can evaluate your situation to see if we can help.
- We can buy your Murfreesboro area house – We buy houses in Murfreesboro and would love to make you an all-cash offer on your house too. Call today or just fill out the form here to get started >>
- Depending on the time line we may be able to list your house on the MLS which will expose it to the maximum number of buyers and most likely result in a higher sales price. There are a few hoops to jump thru but it’s worth considering again, if there is time.
- You can ask us questions and we can provide you FREE guidance and resources so you can make a well educated decision. This costs you nothing, there’s absolutely no pressure, no obligation… just free guidance without a catch.
If you’re in the pre-foreclosure stage… you’ve still got time to fix this situation.
Just connect with your bank to see if they’re willing to work with you… or contact us if you’d like to see what we can buy your house for or to tap into our free foreclosure foreclosure resources.