How to Avoid Foreclosure in San Antonio

With millions across the country behind on payments, it’s important for both buyers and mortgage holders to understand potential foreclosure solutions. Learn how to avoid foreclosure in San Antonio by selling your home now. Keep reading to learn more! 

Due to recent economic changes, many homeowners across Texas and the San Antonio area are struggling to pay monthly expenses. Whether you’re recently unemployed, newly divorced, or 3-6 months behind on your mortgage payment, it’s easy to lose sight of the future. If you’re underwater on your home or struggling to keep up with the house payment, you’re right to fear that the mortgage provider is going to foreclose.

Thankfully, the foreclosure process typically moves slower than most homeowners expect, and there are a number of things that you can do to avoid foreclosure in San Antonio, TX. It’s important to remember that moving quickly is absolutely paramount, and could save your credit rating and your home. Be proactive, and avoid foreclosure by selling your home in San Antonio, TX! 

Learn how to avoid foreclosure in San Antonio and start using these tips today!

How to Avoid Foreclosure in San Antonio: Pre-Foreclosure Stages

When a homeowner misses 3-6 months of mortgage payments, the lending institution will issue a warning and notify the homeowner to pay or face foreclosure. This period is commonly known as “pre-foreclosure”.

Banks and mortgage lenders typically provide three months for a homeowner to pay any outstanding balance. Of course, this timeframe can vary by bank or institution.

If a homeowner fails to make the necessary payments, the bank will eventually foreclose on the home, assume ownership, and evict the homeowner. Luckily, during this stage of the process, mortgage holders have the opportunity to take action and avoid foreclosure by selling their homes in San Antonio and the surrounding area.

Notice of Default: What Does It Mean? 

If you’re behind on mortgage payments, you’ll likely receive a “notice of default” from your mortgage lender.

This document will state the conditions of your mortgage delinquency for the last 90-180 days. It’s important not to panic.

Many people simply give up and walk away from their homes. There are areas of San Antonio that have begun to resemble ghost towns, as the economy has impacted residents significantly. Detroit is a prime example of what can happen when people abandon their homes.

This can be a stressful situation, but it’s extremely important to keep your wits about yourself. A foreclosure will have a huge negative impact on your credit score, and likely prevent you from purchasing a home for years to come.

Lenders are well aware of the widespread financial troubles across the country, and they’re often willing to work with borrowers to come up with a solution that works for them.

You Have Options That Can Prevent or Delay Foreclosure

Refinance: If your mortgage is “above water,” (meaning you have equity in your home) you may be able to refinance your mortgage for a lower monthly payment. Check with your local San Antonio mortgage broker, or contact us and we’ll connect you with a reputable agent.

Short Sale: With a short sale, you’ll sell your home for less than it’s worth, and the bank will take the loss as a tax write-off. In some short sales, you may still be required to pay the difference of your loan if the house doesn’t cover what’s owed.

Declare Bankruptcy: While this might seem like a last resort, declaring bankruptcy will grant you time to satisfy your debt. But keep in mind, bankruptcy remains on your credit for years and can cause significant damage.

Negotiate: Banks and other financial institutions are well aware that San Antonio citizens are struggling to make payment. If you’re not too far behind yet, you may have some leverage to renegotiate the terms of your loan. Banks don’t like foreclosing on homes, and many will work with you if you aren’t too far behind. You may be offered forbearance or even a full loan modification.

Federal Assistance: Over the last five years, the federal government has implemented a number of programs to help struggling homeowners. The Home Affordable Modification Program (HAMP) allows struggling homeowners to modify their loans, reducing monthly payments. The Home Affordable Refinance Program allows homeowners who are current on their mortgage payments to refinance an adjustable-rate mortgage into a low-interest, fixed-rate loan. Both of these programs are subject to eligibility requirements.

We understand that the possibility of losing your home can be stressful. You aren’t alone. Citizens all over San Antonio are facing the same troubles. Foreclosure can have a lasting effect on your financial life, and it’s important to move quickly and take advantage of any options available. You could save both your credit rating and remain in your home.

Be honest, communicate with your lender, and you’ll find that there are options that will allow you to stay in your home or salvage your credit rating. A foreclosure can negatively affect your credit score by 200-400 points and prevent you from obtaining a loan of any sort for 5-7 years, so be dutiful and act fast if you’ve received a Notice of Default from your lender.

If you’re not able to find a solution with your lender working directly with them, connect with us. We may be able to help.

Sell Your Home for Cash and Avoid Foreclosure

Good news: if you’re in the pre-foreclosure stage, you’ve still got time to fix the situation.

You may be able to sell your home to a reputable San Antonio real estate investor like Texas Home Buyers Group. When you sell your home directly, you can use the cash acquired to pay the months of back-payments owed, or we might be able to negotiate with your lender to relieve all or part of your back payments. We can buy your San Antonio, TX area home quickly, often in just a week or two, and we’ll pay in cash, so you don’t have to worry about finding a buyer.

If You Need to Sell a Property near San Antonio, We Can Help

Remember, the bank that carries your mortgage doesn’t want to see your home abandoned or auctioned. The bank stands to make the most amount of money by helping you avoid foreclosure and sell your property. However, dealing with banks at any point during the foreclosure process is a stressful yet necessary step.

If you’re looking to avoid foreclosure by selling your San Antonio house fast, contact us today!

We specialize in helping homeowners like you learn how to avoid foreclosure in San Antonio and the surrounding area. In certain circumstances, we can negotiate directly with the bank to reduce the amount you owe and help you walk away from your property with cash.

Connect with your bank and see if they’re willing to work with you, or contact us if you’d like to sell your house for cash now.

We’re here to answer your questions, and we’ll even provide FREE foreclosure guidance and resources so you can make a well-educated decision. There’s no cost, no pressure, and no obligation—that’s the Texas Home Buyers Group promise.

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