When You Can’t Afford Your Houston Mortgage
Foreclosures used to be something that were kept quiet and many people didn’t know about. And the term short-sale was even more unheard of. But these taboo words of the past are things that many people are all too familiar with after the housing crisis. Job losses, divorces, and failing to plan for adjustable rate mortgages have left many homeowners in dire straights regarding their mortgage. Short sales and foreclosures are taking place all around the country.
If you find yourself in a position of not being able to afford your Houston mortgage, you need to know just what to do.
Modify your loan
When you become aware of the fact that you aren’t going to be able to afford your Houston mortgage, you need to take action. Contact your mortgage lender and explain your situation. Let them know that you do not want the house to be foreclosed on and ask what types of programs they have available for loan modification. They may be able to work with you to restructure your loan in a way that allows you to continue making smaller payments that you can afford.
This process is not an easy one and it can be time consuming. Consider all of your options before getting started in the process.
Short Sale
If you can’t afford your mortgage and you are unable to sell your house for what you owe on it, a short sale might be the solution for you. When you are going through this process, your lender will have to approve the offer made by the buyer since they are the ones taking the loss. However, many lenders do not want to deal with foreclosing on properties and having to sell them, so they are more than willing to work with homeowners that need to use a short sale.
We can buy your Houston house. If you find yourself considering a short sale, call us today.
The process can take 120 days just for the lender to respond to the offer, and there is no guarantee that they are going to accept the offer. Work with a real estate agent that is experienced in short sales to make the process as smooth as possible. While this option is better than having your home foreclosed on, it will still have a negative impact on your credit score.
Watch out for scams
Unfortunately, there are people that are willing to take advantage of Houston homeowners that can’t afford their mortgage. Before working with a company that says they are going to help you modify your loan, make sure you complete your due diligence to find out if the company is legitimate. There have been many homeowners that have spent time and money trying to dig out of their hole only to realize that they were being taken advantage of and are in a bigger hole than they were before.
If you find yourself needing to make a quick sale, get in touch with our team today. We have been helping Houston home buyers get out from under their homes for years. We can buy your house for cash today.
Exhaust every option
If you are facing foreclosure, you need to exhaust every option that you have. Do your homework to see what is available to you. Don’t be afraid to ask questions. Contact your lender and government agencies to see what is available that could help you.
The last thing you want to do when you can’t afford your mortgage is to bury your head in the sand. You need to face the problem head on in order to find a solution. Talk to real estate attorneys, lenders, and do research to see that you are choosing the right solution for your specific situation.