It’s hard to stay current on your mortgage no matter how financially responsible you are. If your Lake Nona, FL house goes into foreclosure, you can sell it yourself instead of waiting for an auction. If you’re trying to sell your home before it’s auctioned off, here’s what you need to know.
Pre-Foreclosure vs. Foreclosure: What’s the Difference?
Pre-foreclosure is when a lender starts the foreclosure process, but the house still belongs to the owner. The foreclosure process begins when the lender sends the homeowner a Notice of Default, telling them they have 20 days to catch up on their mortgage before the foreclosure happens.
A lender sends a Notice of Sale to the homeowner if they don’t catch up with their mortgage payments before the end of the grace period. Otherwise, the home will be sold in a foreclosure auction.
Negotiating a deal or modifying the loan with the lender, signing a deed in lieu, filing for bankruptcy, leveraging a government program, and selling the house are all ways to stop a foreclosure auction.
The Foreclosure Timeline
The amount of time it takes for a lender to foreclose isn’t always predictable. Someone might get a foreclosure notice as soon as they miss their third mortgage payment, while someone else might miss several more before they get one.
It depends on how lenient the mortgage company is. Some lenders are willing to work with homeowners to avoid foreclosure, while others are eager to streamline the process as soon as possible.
Because foreclosure timelines aren’t always clear, it’s best to assume the worst and assume that you don’t have much time left. It’s best to sell your house as soon as possible if you can’t afford it to maximize your profit and minimize your credit damage.
Time is of the Essence
Selling a home can be a hassle even in the best of circumstances, and a foreclosure just makes it worse. Have a realistic view of what’s ahead before you put the house on the market.
Keep in mind that your lender won’t wait for you if you try to sell your house before a foreclosure auction. The mortgage industry is used to stalling tactics, including homeowners listing properties they don’t actually want to sell just to buy time. This means they won’t pause the foreclosure timeline while you try to sell.
Your options will generally depend on how close your auction date is because selling is such a time-sensitive matter. Even if it’s more than a month before the auction, an agent who sells foreclosure homes can help you sell it for its market value if you’re in a seller’s market or at least a balanced market between buyers and sellers. If you’re weeks or days away from the auction date, you might be able to sell to a cash buyer for less than market value.
“How do I sell my house in foreclosure in Florida?”
You should work with someone familiar with the foreclosure process, whether you choose to sell on the traditional market or to a cash buyer. It’s important to work with an expert who will make sure all the moving parts are handled on time when selling a foreclosure home.
Selling Through an Agent
A good realtor will also know how to pick the perfect selling price so you can close before any upcoming deadlines. They also know what makes a home more appealable and faster to sell, so they should also give you advice on how to stage the home, such as making the necessary repairs and renovations.
Selling to a Cash Home Buyer
It’s crucial to do a background check on a homebuyer to make sure that they aren’t a scam artist and have proof of adequate funds to buy your home. That’s just the bare minimum. If you buy a foreclosure, the cash homebuyer takes on all the responsibilities of a real estate agent and makes sure the sale runs smoothly. That’s why you need a buyer who’s bought foreclosure homes before and knows exactly what to expect.
Saying “I Want to Sell My House Fast” in Florida?
At Kindred Homes, we buy homes in Lake Nona, FL to help homeowners get rid of their properties quickly and easily. We are the perfect solution if you’re looking to sell your house fast and don’t want to deal with real estate agents.
Deals with us are fair and win-win. We’re here to help you with any way we can. Reach out to us today by calling (407) 705-3779.
