Sell A House In Pre-foreclosure In Jacksonville FL

“How do I sell my house in pre-foreclosure in Jacksonville FL?” Losing a home due to not being able to keep with payments is a problem that many homeowners unfortunately come across. Foreclosure can be a traumatizing event to go through, and nobody likes fighting with banks over the possession of their property. The good news is, there are several options to choose from in order to avoid losing your home to foreclosure. Even if you do believe that selling your home will be the best option, it can be beneficial to go over all of your options before deciding. We buy pre-foreclosed homes in Jacksonville FL and if you’d like a fast way to sell your property, we are here to offer that service.

What Is “Pre-Foreclosure?”

Pre-foreclosure status begins when your lender files a default notice on your property (usually after missing their fourth payment) which informs the property owner that the lender will pursue legal action toward foreclosure if the debt isn’t paid. Depending on the negotiations between the lender and homeowner, this process takes between six months to a year after which the lender takes procession of the property. In order to maintain possession of the property, the mortgage payments may have to be made current and monthly payments will have to be made on the property going forward.

Maintaining Possession Of The Property

There are a few options that can be utilized if maintaining possession of the property is what you’d like to do. Depending on your lenders willingness, these options may or may not be viable. It’s important to work with your lender on a mutual solution or compromise to getting your payment status current and back on track. Here are several routes you can take in order to continue maintained possession of the property.

• Forbearance-

This is the situation where the lender and homeowner come to an understanding which either temporarily suspends payments or allows them to spread the back payments over time.

• Mortgage Modification-

The homeowner is required to apply to the lender for the restructuring of the mortgage to more suitable terms for them. Aspects of the loan that were previously used such as interest, the extension of the length of the mortgage, etc. can be altered to lighten the load on the homeowner leaving them with an affordable mortgage.

• Reinstatement-

This solution by far is the simplest for avoiding foreclosure but again very hard to execute. You are simply required to find out how much money you are required to pay the lender to date and make the said payments. Homeowners don’t require approval from the lender to do this. However to do it, he/she should be able to pay all the fees, penalties and other payments up until the day before the auction.

• Renting Out The Property-

In some cases, homeowners have a  mortgage payment low enough such that the market rent value can pay for their mortgage. They have the option of renting their property out to other people and make their mortgage payments using the rent money they get. This arrangement will allow the homeowner to indefinitely keep the home however many issues are surrounding rental properties considering the rent rarely covers the total cost of ownership as well as maintenance.

• Bankruptcy-

Declaration of bankruptcy is a viable emergency solution to avoid property foreclosure in some states. This as well does not require the approval of the lender, however it may damage the homeowner’s credit and can only be declared at most once in seven years. The foreclosure process nevertheless cannot be completely stopped by declaring bankruptcy but only stalled for a given period giving you time to rearrange your finances.

• Refinancing-

The mortgage can be refinanced by the homeowner to avoid foreclosure if they have excellent credit scores and enough equity in the property. There have been cases in which refinancing has resulted in reduced payments however in the current markets they will most likely increase the mortgage payments of the homeowner.

Deciding To Sell The Property

Deciding to sell the home is a viable option for saving your property before it is sold at the auction. You should, however, be able to sell at a price which will allow you to pay back what you owe the lender in full alongside any associated fees and penalties. Even though at this point the house will cease to be yours, you will be protected from the grave damage being foreclosed on may do to your credit. It’s important to let your lender know that you intend to sell the property to use the money to clear the mortgage. The time you have between foreclosure and having your property auctioned off differs from state to state. Make sure to ask how much time you have and if you can be given more.

Once the decision to sell has been made, there are two routes that can be taken.

Listing The Property With A Realtor

Once the decision to sell the property is agreed upon, there are a few ways to go about the sale. The first would be listing the property with a realtor. This option will require you to sign an agreement with a realtor for them to market the property on the MLS and other places such as Zillow and Trulia. This selling process often takes anywhere from 30-90 days due to things like financing contingencies, appraisals, and inspections.  Sellers are also often required to make repairs/upgrades to the property. This route may not be possible due to time constraints with the foreclosure. Therefore, selling the house as-is for fast cash is most likely the best route to take.

Selling The House To An Investor

The other route to take it to sell the property as-is to a home buying company. Companies such as Buying Jax Homes pay fast cash for homes as-is. If we are able to pay enough cash to cover the mortgage as well as get you some money to walk away with, this may be your best route. Even if you are underwater on your mortgage, not to worry, we have creative financing solutions to help. We buy pre-foreclosure houses in Jacksonville FL. If  you are looking for an easy way to sell your pre-foreclosed Jacksonville FL house, simply fill in the form below. We will get back to you within 24 hours with a free all cash offer.

Conclusion

When your home goes into pre-foreclosure, there are a many ways to deal with this problem. One way would be to work with the banks to allow you to continue maintained possession of the property. In order to accomplish this, you will have to figure out a way to get your mortgage payments current and back on track. If this is not feasible, another way to deal with a pre-foreclosure property is to simply sell it. Your home most likely has a lot of sentimental value, and selling cannot always be easy. However, in order to save your credit and pay off your lender, selling the property may be your best option. The home can be sold through a realtor, or to a house buying company such as Buying Jax Homes.