What is pre-foreclosure in Fort Worth TX anyway?
Millions of homeowners across America and Fort Worth TX are facing difficulties making their monthly mortgage payments. CAUTION: The biggest mistake you can make is sticking your head in the sand and not communicating with your mortgage lender. You must answer the phone when they call and open the mail they send you for the best chances of saving your home and credit.
With millions of homes across the country going into foreclosure, it’s important for both buyers and mortgage holders to understand the foreclosure process.
In Texas, when a homeowner misses 1-4 months of mortgage payments, the lending institution will issue a warning, notifying the homeowner to pay or lose their home. This period is known as “pre-foreclosure.”
Banks and mortgage lenders typically are willing to work with homeowners for a couple months to bring your mortgage current. Of course this number can vary by lender and situation sometimes. Communications is key. Lenders are not in the real estate business, they are in the mortgage lending business and do not want to take your house back.
If a homeowner fails to make the necessary payments, the bank will foreclose on the home, assuming ownership, and evict the homeowner. Thankfully, during this pre-foreclosure phase, a mortgage holder (borrower) has the opportunity to take advantage of several options to prevent losing their home.
Pre-foreclosure Options for Borrowers
If you’re behind on mortgage payments, you’re likely to receive a “notice of default” from your mortgage lender.
This document will state that you have not made mortgage payments for the last 30-120 days. It’s important not to panic.
You have options that can delay or even prevent losing your home:
- If your mortgage is “above water,” (meaning you have equity in your house) you may be able to refinance your mortgage, which could provide you with a lower monthly payment. Check with your local Fort Worth mortgage broker… or contact us and we can connect you with a reputable one.
- You may be able to quickly sell your home to a real estate investor that’s reputable in Fort Worth like us at TMC Property Solutions, using the cash acquired to pay the months of back-payments owed (or we “may” be able to work out something with the lender that relieves all or part of your back payments. We can buy your Fort Worth TX area home quickly, often in just a week or two, will pay in cash, and takes the stress out of trying to find a buyer.
- You can contact the bank and ask them to permit a short sale. In 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 to the bank if the house doesn’t sell for what is owed on the loan.
- You may be able to declare bankruptcy, which can buy you time to pay your debt. Bankruptcy will remain on your credit report for years, and can cause significant damage and isn’t always the best option.
Lenders are very much aware of the widespread financial troubles across the country and they’re willing to work with borrowers many times, BUT YOU MUST COMMUNICATE WITH THEM.
If you’re honest and communicate with your lender, you’ll often find that there are options that will allow you to remain in your home, or at least salvage your credit rating.
A foreclosure can often negatively affect your credit score by 200-400 points and can prevent you from obtaining a loan of any sort for 5-7 years, so be very dutiful if you’ve received a Notice of Default from your lender.
Ways We Can Help If You’re In Pre-Foreclosure
- We can potentially help with a short sale – Submit your info on this website so we can evaluate your situation to see if we can help.
- We can buy your Fort Worth area house – We buy homes in Fort Worth and would love to make you an all-cash offer on your house too. Just fill out the form here to get started >>
- You can ask us questions and we can provide you FREE guidance and resources so you can make a well educated decision. This costs you nothing, there’s absolutely no pressure, no obligation… just free guidance without a catch.
If you’re in the pre-foreclosure stage… you’ve still got time to fix this situation.
Just connect with your bank to see if they’re willing to work with you… or contact us if you’d like to see what we can buy your house for or to tap into our free foreclosure foreclosure resources.
Want To Discuss Your Pre-Foreclosure Options? Call Us at (817) 550-5069
Or, Submit Your Info Here To Get A Cash Offer On Your House >>
You may also be interested in viewing some of the videos on our YouTube Channel we have created that may be helpful to you as well.
TMC Property Solutions
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