How to prevent foreclosure

Experiencing foreclosure is nothing short of stressful, but luckily it can be prevented if you’re proactive. Life can get busy and house payments can accumulate, making everything hard to keep up with. If you’re in need of cash fast, and you find yourself thinking “I need to sell my house in Omaha,” turn to Best Price Homebuyers for a quick cash offer. 

What is foreclosure?

Foreclosure happens when a homeowner is unable to make mortgage payments. The process of foreclosure is when the lender repossesses and may attempt to re-sell the home. This will happen because your home is seen as collateral due to mortgage loans that are secured by real estate. Because your home is viewed as collateral, it can be legally obtained and seized by your lender when payments fail to be made. 

How to prevent foreclosure

Contact your lender

When you receive a foreclosure notice, an important first step is to contact your lender. The worst thing you can do in this situation is ignore the problem and allow it to get worse. Your lender might be able to reinstate your loan or negotiate other options to help you during this time. You have options as long as you are on top of the issue! Forbearance, reinstatement, payment plans and loan modifications are all possible options your lender might be able to help with. 

Refinance

If your mortgage payments are becoming difficult to keep up with, it might be time to consider refinancing your property. This can help you lower your monthly payment based on your home's value. Hard money loans are also an option, but they can be tricky since they have a higher interest rate. 

Apply for loan modification

When a loan is in a modification review process, lenders are unable to pursue foreclosure on your home. Lenders can adjust the terms of your loan to make the payment more affordable for you instead of pursuing foreclosure.

File for bankruptcy

If you find yourself in debt and need help avoiding foreclosure, filing for bankruptcy might be your best option. Once you file for bankruptcy the bank is no longer allowed to collect payments from you. Your payments will also be restructured and a possible payment plan will be put in place to help you get back on track with your payments.

Rent out your property

If you find you have extra rooms or space in your home, you can rent out your property. This is a great way to generate income and start paying off debt. When you let other people use your property, you're making an income and they are essentially paying off the debt. Renting your property also has the potential to help you build equity. You shouldn’t pick random tenants when renting out your property, make sure you find tenants that will make payments on time so you can make your monthly payments on time to prevent foreclosure.

Sell your home as-is

If you’re looking to stop the threat of foreclosure right away, selling your home as-is can be a great option. No repairs, cleaning or realtors are needed when you sell your home as-is to Best Price Homebuyers! Our hassle-free process will get you a cash offer fast. 

Sell my house Omaha

Avoid foreclosure by selling your property to Best Price Homebuyers in Omaha, NE. Work with the best cash home buyers to sell my house in Omaha and contact us today to sell your home for cash quickly with the best cash home buyers.