Selling a Home in Foreclosure: What You Need to Know
No one plans for their home to go into foreclosure, but life happens, and you might find yourself in this specific situation. When you receive the first notice that your home is in foreclosure, a thousand questions come to mind, and we will answer some of the most pressing questions you have.
When you’re selling a home in foreclosure, here are some things you need to know that will help you through the process. Can you sell a home in foreclosure? Find out that and more below.
Check With the Lender
If you have a home in foreclosure, the first thing you need to do before selling it is to speak with your lender. When you speak with them, you need to find out if you can list your home for a short sale.
It’s best to speak with someone that can provide you with a definite answer versus one that is generic because time is of the essence in this case. When speaking with the lender, discuss why you’ve fallen behind on your payments and why you want to list it for a short sale.
It’s important to let them know the foreclosure is not a direct consequence of you not being able to make payments or being irresponsible. Selling your home in a short sale might be beneficial if you have little to no equity in your home.
Sell For Cash
If you don’t wish to go through verifying buyers that are financing the home purchase, you can sell your home for cash. Another common reason to sell your home for cash is if you don’t want to take on the additional fees and interest that come with other forms of selling a house.
You can click for more information about selling your home for cash. When you sell your home for cash to an investor, you have several benefits, including:
- There’s no need to make significant repairs
- You can skip out on marketing the property
- Quicker closing
You Don’t Have to Declare Bankruptcy
When your home goes into foreclosure, it’s easy to assume the first thing you should do is declare bankruptcy. We’re here to tell you this isn’t the case and should be the last thing you do during the foreclosure process.
It’s the last resort because there are many other options. If you decide to declare bankruptcy, it’s best to speak with a lawyer beforehand to understand the entire process because it can become quite complex.
Selling a Home in Foreclosure: Understanding the Next Steps to Take
When you’re selling a home in foreclosure, there are several assumptions that might be made, but it’s important to understand what happens. You could short sale your home or make things easier in the long run and sell the home for cash.
Need more information? Check out the other posts we’ve created in this section for our loyal readers.