Have you found yourself in debt and need to sell a house to avoid Repossession? While each situation is different, in most instances you can save your house from Repossession by selling your property. There are some ways to sell a house to avoid to avoid repossession. Read on to learn the options available to you.
Have you found yourself in debt and needing to sell a house to avoid Repossession? Maybe you’ve even asked yourself, How can I save my house from Repossession? While each situation is different, in most instances you can stop your repossession completely. There are ways to save a house from repossession. Repossession can affect more than just your credit, it can impact your entire life! However, you do have options available to you.
What is the Repossession Process?
Repossession is a legal process that a lender or mortgage company obtains ownership of your home, in other words, a repossession of the property. Many people do not understand the Repossession process. Honestly, they just want the answer to the question: How can I save my house to avoid Repossession? The goal, of course, is to avoid a lender from repossessing your home. Repossession isn’t usually unexpected, its usually a slow accumulate of debt over many months.
Step 1: Missed Payments:
Maybe your hours at work go reduce, you were laid off, lost your job, lost a second income, or simply hit a tough spot financially. This can happen to anyone at some time or another whether it’s illness or job related, a few mortgage or loan payments go unpaid. Once you have missed three and are 90 days behind on mortgage payments, lenders can start the Repossession process.
Step 2: Pre-Repossession:
The lender will write to you to explain that you are in default on your mortgage payments. This can often come as a shock. This marks a period where you can work with the lender to find a way to get out of “default” status on your loan. You may be able to work something out with the lender, take out a separate loan to bring your mortgage up to date, or any other option, including to sell a house to avoid Repossession.
How Does a Repossession Affect a Homeowner?
One reason many people want to save their house from Repossession is that the Repossession affects a lot more than just your credit rating. In most instances, after a home is lost through Repossession, the individual’s credit score drops significantly. It can take at years of making each and every payment on time to restore your credit score. Besides being devastating to your credit score, there are other areas affected. These include:
- Buying another house – After a Repossession, it can be difficult to purchase another house. Some lenders only require a waiting period, others will not make a loan to a person who has been through Repossession.
- Getting a car loan – Repossession can mean that you are unable to borrow money, as lenders will not provide loans due to the higher risk that you will miss a repayment.
- New Jobs – In most instances, a Repossession may not affect your job or ability to get one. However, you will not be able to work in the financial industry such as in a bank, as a mortgage broker, or in the city if you have poor credit ratings.
Can selling to a cash buyer help save my House from Repossession?
Have you been saying, Just stop my Repossession?! Luckily you have options. There are always options, even if you just want to sell your house to save it from Repossession. Its important to examine each of the options to understand one will work best for your situation. Every individual’s situation is unique, and finding an option may take creativity, but there is always a way to save a house from Repossession. Here are some options to explore:
Discuss refinancing options with your lender. You may be able to negotiate to refinance the mortgage to make the payments more manageable. In some cases, depending on finances and other criteria, lenders can lengthen the term of your mortgage while reducing the amount you pay each month. This change helps keep you in your house. However, before they make any changes, the lender may require that it be brought up to date. That may present a challenge. They may also ask you to find a friend or family member who will act as a guarantor and make payments if you cannot.
Sell to a cash buyer. The best option for homeowners who want to save their house from Repossession just might be selling their house to a cash home buyer. The process is actually a simple one. The cash buyer takes a brief look at your house and then makes a cash offer. If you are comfortable with the offer, they give you the cash and complete the paperwork for the sale. Completing the sale can take as little as a week since it is a much faster process. You take the cash to the bank and pay off the mortgage and your lender. It really is that simple to stop your repossession. You do not have to show the house, prepare the house or make any repairs as a cash buyer is an investor and will take the house in any condition. You don’t have to put the house on the market, get questions from your friends, family and neighbours about why you are moving. It can be done completely discretely.
Need to Stop Your Repossession?
At K&G Lettings Limited we specialise in quick house sales. We understand that facing repossession is a scary and stressful time for you. We can take the extreme stress away by buying your house. At K&G Lettings Limited, we specialise in buying houses quickly and without hassle. This removes the emotional and financial hassles form facing a house repossession, ensuring you and your family can face the future without fear.
Even if you don’t decide to sell, we’d love to answer any questions you might have. Give us a call today on 01482 961961.
The information presented in this article is for educational purposes only and should not be considered legal, financial, or as any other type of advice.