Upcoming Foreclosures

If I fall 3 months behind on my mortage and the bank starts foreclosure?

Can I still try to sell my house or even ask for a short sale?

Public Comments

1. Sure you can. Until the house is sold and you are out in the street, you have options.
2. yes you can ask your bank about a short sale... however...every state has different laws, procedures and timelines for foreclosure. here is a link that outlines all of that for your information. just click on your state. http://www.foreclosures.com/pages/state_laws.asp good luck
3. You can try that, but I would tell you to keep up the lines of communication with the lender. You are in trouble and need to start thinking long term with what is going to happen here. You are close to losing your investment if you have any.
4. Yes, you can try and sell your property...but do it from the standpoint that you won't necessarily have the bank's cooperation for any leeway, and they can still foreclose on you. Also consider the real estate market where you are; a lot of over-inflated markets have lost value and you may owe more on your home than what it's worth. If you are considering a short sale, talk to them immediately. They aren't required to authorize it, and they need time to consider your request. If you haven't already fallen behind in your payments, now is the time to see what your options are with your lender. You might even see if you can deed the property back to them. The longer you delay, the more costs you'll have (foreclosure fees, attorney fees, filing fees, appraisal fees...anything associated with their cost for foreclosing on your home.) If you decide to go through a Realtor, make sure he/she has experience with short sales. You won't have any time to waste.
5. Hi! As a Realtor you have several options. The best is to apply for a chapter 13 with a Bankruptcy attorney and this will stop the foreclosure and give you time to re-group. You can not do this without professional help. A short sale is with a lawyer/trustee and you need to be legally represented so you get the best possible treatment and advise. I have seen people lose their homes that did not need to. Please speak to an attorney, the consult is usually free. Second, contact a local Realtor for a CMA and know what the exact value of you house is in this market. You may be able to do a private sale and have someone pay your back taxes or mortgage in return for a good fair market value of your home. Do just sit by and lose your home makes no sense. You can work with the Lender and often get a 3-6 month stay and then sell your house. MOST lenders want their monies, not you out in the street. So work with them. They are not the enemy and if they have issues, go to an attorney. A foreclosure could ruin you for years and a chapter 13 could save you. Get the proper legal advise and please do this. It is well worth the time and monies to save you the grief and heartache of losing your home with no equity to show for it. If you have any other questions, please ask. Marie.
6. I do not recommend taking a bankruptcy so lightly (as someone else has suggested). It should be an absolute last resort because if you do that and don't fix the problem that is causing you to not be able to pay the mortgage, you will end up with a foreclosure AND a bankruptcy on your credit report. Talk to the bank - tell them everything in simple terms and dont misrepresent anything. If you can get a buyer, they will likely work out some sort of terms with your buyer, but know that they do not have to and the closer you get to foreclosure, the less likely they may be willing to work with you.
7. Yes you can. The sooner you communicate with the lender, the more options they can give you...remember, they will do everything they can to help you keep the home. I have even seen them take a year's worth of payments and tack it onto the end of the mortage, to prevent someone from foreclosing. Don't call customer service, ask to be connected to the loss litagation department, they are the only ones with the authority to help you, and make sure you get any agreement in writing.
8. Yes, the quicker that you are able to do this the better. Usually once you fall 3 months behind your payment the lender files a notice of default on title and it could be months after untill they eventually sceadule a sale for your peoperty. Remember the last thing that the bank wants to do his file another foreclure, so contact them directly as well and try to work out some kind of payment plan with them to avoid further damage.