No matter what your circumstances are, it is almost always a better option to avoid foreclosure. It can crush your credit making it difficult to borrow money in the future. It can affect your ability to rent a home or lease a vehicle. But the worst thing it can do is take your home from you.
Time is of the essence. Unfortunately, those words can hit deeply when an impending foreclosure is on your horizon. But, before it’s too late, you should take the lead and take immediate action to head off foreclosure with your lender. When your home is at risk, the unknown outcome can cause a great deal of stress, and knowledge truly is power, especially when it concerns a financial matter as serious as a foreclosure in Erie PA. By educating yourself on the specifics of the processes involved in foreclosures, you’ll have a clear blueprint to a better tomorrow.
We’ve gathered together the following tips to help you understand the ways you can fight back against foreclosure in Erie Pennslyvania.
Make the First Move
The best way to fight back against foreclosure in PA is to be upfront with your lender about upcoming financial problems or other issues which will interfere with your ability to maintain your monthly mortgage payments. Your lender may be willing to work with you towards maintaining the mortgage through special financial arrangements, such as forbearance with a repayment plan or a mortgage modification. Many lenders want to work with you especially given the amount of time, effort, and potential legal hassle they will avoid by working with you.
If you’re considering selling as a solution, working with a professional investor from 717 Home Buyers can help you understand your options. If you believe you could afford the holding costs to wait for a buyer to come along, you’ll know what you would earn if you worked with a real estate agent or sold directly to 717 Home Buyers.
It’s Never Too Late
If you’ve received notices from your lender and hesitated in making any moves to fight back against foreclosure in Erie, but foreclosure proceedings have yet to start, reach out to the mortgage lender about a short sale or deed in lieu. These options can extend the amount of time you are able to stay in the property and could help you sell the property without paying additional money.
A short sale requires the lender’s permission, allowing the property to sell for less than is owing on the existing mortgage. This strategy could actually help you sell for close to market value due to the crazy demand for houses currently. However, it’s important to note you may still be left owing the difference to the lender if the proceeds from the sale do not cover your initial mortgage.
A deed in lieu is when you simply hand over the property to the lender to avoid the foreclosure process. This would potentially allow you to not be held liable for any amount remaining on the mortgage. You additionally can ask your lender for relocation services, commonly known as “cash for keys”. Certain states may hold you liable for any deficiency, which is a difference between the value of your property and the amount you still owe on your mortgage loan, so you will want to ask your lender to waive the deficiency. If you are able to get a deficiency waived make sure you get written documentation for your records. A US Department of Housing and Urban Development counselor can help you through this process.
Therefore, we encourage you to compare these options for yourself. Should you select to sell to 717 Home Buyers, in many cases, 717 Home Buyers offers our guaranteed closing within a matter of days. Need a few more days or weeks before you move? 717 Home Buyers can set a date that suits you best. And 717 Home Buyers is fully transparent with how we calculated our offer, so you’ll agree it is fair.
If You Do Run Out of Time
A foreclosure will remain on your credit history for seven years following the first missed payment. Depending on the type of bankruptcy you file, this red flag could stay on your credit history for up to ten years. That is a long time for future access to credit to be restricted.
Suppose it has boiled down to a decision between which is worse for your credit: bankruptcy or foreclosure. In that case, your unique situation will have to be taken into consideration, which will do the least amount of damage to your future. Both options can make attaining another mortgage difficult, depending on your credit history following the event. Possible consequences could include limited living options, your ability to acquire credit, and possibly missed employment opportunities. While there are now tools out there that can help boost credit scores for a short period of time like Experian Boost those can not permanently delete an event like foreclosure.
717 Home Buyers may be the answer to your troubles. We can help you maintain your credit standing with our fast closings to fight back against foreclosure in Erie. In addition, because we have cash buyers, we can eliminate the time needed for buyers who need financing.
We stop and take the time to listen to your circumstances. The pros at 717 Home Buyers have years of experience helping homeowners facing foreclosure jump over any hurdle. We will help you win the fight against foreclosure in Erie. To learn more, send us a message or call 717 Home Buyers at 717-639-2164.
About Josh Eberly
A native of Lancaster County, Josh’s roots run deep in his commitment to this community. He especially enjoys helping people find solutions through real estate. Josh is a seasoned investor with experience in many sides of buying and investing in real estate. Josh enjoys reading, listening to podcasts, digital marketing, and hanging out with his family. Feel free to connect with him here.