Good news! You are allowed to sell your house during foreclosure up to the moment the house is repossessed by the lender or auctioned. Maybe it is too optimistic to call it good news when the situation is so dark when you are about to lose your house, your home, and your most important possession. The most important thing to remember when going through this circumstance is to minimize losses.
You can also sell your house during pre-foreclosure, the period from the first notice until the house is repossessed and auctioned or you can short sell it if the lender allows it. The ideal situation will be to sell the house at its current market value and hopefully pay off the mortgage amount without affecting your credit score and your future borrowing capability.
Don’t think you have all the time in the world to sell your house if you are late with your mortgage payments. In Central Florida, Kansas City included, it takes an average of three and a half to four months until the judicial foreclosure is declared and the house is sold at an auction by the lender. So make a realistic assessment of your financial situation.
You can ask your lender if they are willing to restructure your loan and if they accept repayment of missed installments in time. Ask about the forbearance policy of your lender. They might agree to reduce or suspend the payments for a short period allowing you to get out of the financial difficulties.
Search for money. Ask your parents or other family members and friends if they can help you in this situation. Don’t forget, that borrowing money from friends and family can end badly especially when you can’t repay back the borrowed money.
Sell what you can sell to avoid losing your house. You can sell your car if you can use public transportation and other valuables such as jewelry, but this will be a short-term solution that will not solve a chronic personal financial deficit. Look at your expenses and cut all the nice to haves or look at getting a second maybe even a 3rd job.
With the lender approval, you can sell the house for less than is owed. List the house with a local Real Estate brokerage that specializes in short sales. The lenders prefer this transaction to a foreclosure as they avoid the time-consuming and expensive process of the foreclosure process. Add to this that lenders are in the business of lending money, not in the real estate business and they prefer to focus on their core business.
If this all seems overwhelming and if you can’t find a way to cover the mortgage perhaps the best solution will be to sell the house. Acting quickly is of paramount importance for your house is now on the butcher block of foreclosure. So don’t hesitate to contact a Kansas City home cash buyer, such as Cash Offers for Kansas City Homes. They will give you a fair deal for the house as is. With this swift transaction, the nightmares of the foreclosure notices and phone calls you want to avoid will end. Repaying your mortgage and walking away with as little impact to your credit score intact is a win-win solution.
In conclusion yes you can sell the house during foreclosure and if you are in this situation delaying is your worst enemy. The quick and easy option of selling the house to a home cash buyer might be your saving grace.