If you are looking to Stop a Foreclosure on your Bonita Springs Florida property, there are several strategies you can do. In the last real estate crash, we helped hundreds of people stop a foreclosure throughout SW Florida. Here are some options to learn about. And please understand… In hard times, staying positive will go a long way!
Get Caught Up
This is fairly obvious. But one easy way to stop a foreclosure is to get caught up on your delinquent mortgage payment. What you will want to do is contact your lender (usually a servicer) to find out the total amount owed in back mortgage payments and any fees that accrued.
If there are any fees that did accrue, then be sure to try and negotiate it. You might be saying, well… I have no money to get caught back up. Which brings us to our second strategy.
Loan Modification
A loan modification is a fantastic way to stay in your Bonita Springs home and stop a foreclosure. Essentially, this process involves reaching out to your lender and explain some hardship. Hardship can include a spouse losing a job or a reduction in pay.
The loan modification traditionally is something that you have to apply for. Your lender is going to prequalify you similar to when you first got the loan for your Florida home. So… If you lost your job and there is no income coming in, this strategy to stop a foreclosure could be very difficult.
Sell Your Home
If you have the equity (after all closing costs) and sell your home, you might be in an incredible shape to move on and stop a foreclosure on your Bonita Springs home.
The best strategy here is to contact your bank and get the payoff including any delinquent payments. Then obtain current market value of the property as well as closing costs to figure if you have enough equity to sell and move on.
For Example:
If your home is worth $300,000 and your mortgage payoff is $250,000 that would equal $50,000 of equity. But we have to figure in closing costs which could be depending on commissions, etc 7-8% of the purchase price ($21,000 – $24,000). But in this scenario, you would still have plenty of equity to do the deal.
If you do not have equity in your south Florida home and want to stop a foreclosure, we have a creative ways to get your mortgage caught up and buy your property. If this is your scenario, fill out the form below and we will see how we can help you out.
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Short Sale
Short selling your home is another option to stop a foreclosure assuming you have no equity. In this scenario, the bank may or may not agree to accept a sale short of what is owed.
In this scenario, a short sale seller will list their Bonita Springs home on the market as a short sale. Once an offer is procured it is submitted with a short sale package to the bank.
The bank will review and many times this can take several months for an answer. Sometimes the buyers get anxious and back out as well. However, if they agree, they will submit a short sale approval letter. Once approved, it acts like a traditional sale and you stop the foreclosure at closing.
This doesn’t mean the bank will waive their deficiency rights. Meaning some banks could come after you in the future for the deficient amount plus fees.
Deed In Lieu Of Foreclosure
In a Deed in Lieu, you and the bank essentially agree to sign over the deed and pass along the keys.
Again, like a short sale, the bank could come after you in the future for the deficient amount plus fees.
If you need to sell your Bonita Springs home FAST for CASH, give us a call. We have experience in dealing with all areas of stopping a foreclosure (both traditionally and creatively).