5 Ways to Stop Foreclosure Thornton
Once your lender serves you with a notice of default, all is not over. There are still some ways you can use to stop foreclosure Thornton and we’ll discuss them in this article.
In fact, there are 5 strategies you could turn to in order to stop the foreclosure process, but the longer you take, the fewer your options become. Without any further waste of time, let’s get down to business.
The first and best alternative to stopping foreclosure is working out a solution with your lender. Up until the time the foreclosure is to begin, most lenders are usually willing to work out a compromise with homeowners so that the latter can get back on track with mortgage payments rather than proceed with the foreclosure process – a process that can cost the lender as much as $50,000 in expenses.
When your lender serves you with a foreclosure notice, it’s just another way of telling you that they will soon be auctioning the house. Before the latter is scheduled and you happen to get someone who is willing to buy the house, your lender should consider the deal because eventually, that is what they’ll do in order to recoup the money you still owe them. If the offer is reasonable, the lender would be willing to take it since you are basically saving them the time and energy they’d have used to find a buyer.
So, even if you have a foreclosure notice on your desk and your house is also on the market, there is no reason to stop looking for potential buyers. Keep on and if you get one, present the lender with the offer you get. Who knows, you could end up with an offer that spares you some more cash to start all over again.
Bankruptcy is one strategy that will stop foreclosure Thornton dead in its tracks. As long as you have filed bankruptcy, you will be protected by federal laws that prohibit any debt collectors from tormenting you – and this includes the institution you owe with respect to the house facing the threat of foreclosure.
Since foreclosure is a collection activity, your lender will be forced to freeze the foreclosure process once they find out that you have filed for bankruptcy, but there’s a catch. Once you get to the court, what basically happens is that the bankruptcy trustee becomes a mediator between you and your lender. When the bankruptcy ends, all debt collectors will be back hunting you down, including your mortgage lender. So, ideally, what a bankruptcy does is give you more time so that you can recover from your financial woes or replace your lost job and continue making the payments. If you can’t find a way to get back on track, you will still lose your house to foreclosure.
The good side of the story is that the law mandates that your lenders should work with you in good faith in order to come up with a reasonable repayment plan. So, before filing a bankruptcy, make sure you get in touch with an attorney for advice on whether pursuing this strategy will be a reasonable move based on your specific case.
Deed in Lieu
Another strategy of stopping foreclosure in Thornton is to sign a deed in lieu. This means that you will voluntarily surrender the ownership of the house back to the lender and while it might look like a smart way of getting out of all these, the effect a deed in lieu has on your credit report is not different from the black mark foreclosure will leave on the same report. Similar to bankruptcy, make sure you consult with an attorney before proceeding with signing a deed in lieu.
Sell the house to a cash buyer
As pointed out earlier, the most definite thing your lender will do in order to recover their money is to sell the house. But what if you can still do the same, get the money and pay them back what you owe and keep the rest? Well, that’s one main reason Denver Property Flip exists. We will buy your house fast and pay you the cash you need to stop foreclosure Thornton after just 5 days.
Call us now on (720) 370-9595 and we’ll make you an all-cash offer within 24 hours.