With millions of homes across the country going into foreclosure, it’s important for both buyers and mortgage holders to understand the process. Are you wondering, “What is a pre-foreclosure in Stockton?” Don’t worry. This guide is here to help.
Foreclosure can have some serious long-term repercussions on your credit and ability to get a home in the future, so if you’ve recently entered pre-foreclosure, it’s important to understand how the process works and how you can optimally respond to it. Let’s break it down:
What is a Pre-Foreclosure in Stockton?
Many homeowners across America and Stockton are facing difficulties making their monthly mortgage payments. When a homeowner misses 3-6 months of mortgage payments, the lending institution will issue a warning, notifying the homeowner to pay or lose their home. This period is known as “pre-foreclosure.”
If you have been struggling to pay your monthly mortgage payments for 3-6months, your lender may have contacted you, letting you know that if you don’t begin paying up, you can lose your home. This is known as “pre-foreclosure”. Nothing official has happened just yet, but if you continue to miss your payments, things can go downhill fast.
Pre-foreclosure Options for Borrowers
If you’re behind on mortgage payments, you’re likely 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. That may sound scary, but you do have a few options that can delay or even prevent losing your home.
What are your options?
- First, if you have equity in your house, refinancing may be on the table. This can lower the amount you owe each month and make it easier for you to make the payments. Check with a Stockton mortgage broker to see if this is an option for you, or reach out to us and we can connect you with a reputable one.
- If you’d rather sell your home so you can pay back the owed amount in full, consider working with our team MCB Home Inc. We’re a home buying company that buys houses for cash fast. Sometimes we can even work out a deal with your lender to relieve part (or all) of your back payments. No promises, but it has happened in the past.
- If you’d rather not sell, you can always talk to the bank about a short sale. In a short sale, you’ll sell your home for less than it’s worth. The bank takes the loss as a tax write-off and you just have to pay the difference if the house doesn’t sell for what is owed on the loan.
- You could also declare bankruptcy. This can buy you time to pay off your debt, but it will always negatively impact your credit. This should be a last resort.
Keep in mind that lenders are aware that financial troubles affect their borrowers. And in many cases, they’re more than willing to work with borrowers to make the process more comfortable for them. If you keep a line of communication open with them, you’ll often find that they’ll give you options to stay in your home or at salvage your credit rating. Don’t overlook this. Asking for help can go a long way.
After all, foreclosure can have a serious impact on your credit score that can keep you from obtaining a loan for 5-7 years. If your lender isn’t willing to work with you, it’s time to consider selling. Contact us as MCB Homes Inc. and we can help give you a fast, all cash offer for your home.
How Can You Help Me if I’m in Pre-Foreclosure?
Hopefully, we’ve answered your “what is a pre-foreclosure in Stockton” question — now let’s look at how we can stop it. We can help in a few ways. On one hand, we might be able to help you work out a short sale you’re your lender. Just fill out the form so we can evaluate your situation. We could also buy your house. We buy houses in Stockton and would love to make you an all-cash offer.
Feel free to ask us any questions you might have about the process. We’ll provide guidance and resources so you can make a well-educated decision. Don’t worry, this costs you nothing, and there’s absolutely no pressure or obligation to accept our offer. No catch – just options and great information.
If you’re in the pre-foreclosure stage, don’t worry. You still have a few options to fix it: just connect with your bank to see if they’ll work with you, or contact MCB Homes Inc. to get an offer on your home or learn about useful foreclosure resources.
Wondering, “What is a pre-foreclosure in Stockton?” Need to Sell Your Stockton Area House Fast? Get Your Fair Cash Offer Below Or (209) 743-0602 Today! Click here to fill out the form and receive a great cash offer for your home.