If you are facing a foreclosure and you waited too long to take steps to avoid the foreclosure, you might find yourself thinking of last-minute ways to stop the foreclosure. If you are about to lose your home and you don’t know what to do, we can help with solutions so that you can avoid foreclosure. Find out the quickest options to stop a foreclosure before the auction at the courthouse steps.
This can be a stressful situation, but it’s extremely important to keep your wits about yourself. A foreclosure will have a huge negative impact on your credit score, and likely prevent you from purchasing a home for several years. If you sell your home using a short sale, you could leave a portion of the loan unpaid, and the lender could pursue legal action against you for the unpaid portion.
Use A Temporary Restraining Order To Stop A Foreclosure
If you are in the very last stages of the foreclosure process, you might be able to stop a foreclosure sale by filing for a temporary restraining order (TRO). This would stop the sale of your home, giving you more time to figure out what to do. However, it’s important to note that this is option is not without challenges.
An attorney will have to file a lawsuit against your lender. A judge will have to approve the TRO as well. Most attorneys need at least a couple of days to start this process. This process can be cost-prohibitive as well. Many attorneys charge several thousand dollars to initiate this process.
Additionally, a temporary restraining order to stop foreclosure is sometimes viewed as risky for the homeowner. While the risks may be rare and seem improbable, you have to know they do exist. Because you are going to sue the lender, you cannot file a false or frivolous lawsuit. There can be penalties involved if this is determined to be the case.
If you are working with a reputable home buyer to help you stop the foreclosure, they will likely guide you through this process if it is a viable option and may even pick up the attorney fees.
File For Bankruptcy To Avoid Foreclosure
Filing for bankruptcy to stop a foreclosure isn’t something most people think of right away. However, if you have a few days before the auction date, this may be an option. A qualified bankruptcy attorney will guide you through the process of which bankruptcy option is right for your specific situation.
If you are in personal bankruptcy, Chapter 7 may be the ideal option. Under this chapter, debtors must liquidate assets that they can no longer afford to pay off or maintain. In most cases, filing for Chapter 7 will stop foreclosure immediately as it is considered an automatic stay.
Chapter 13 bankruptcy might also be an option depending on your situation. No matter which route you choose or are advised to take, the attorney’s fees can be costly and there is always the risk of your property not being covered by the bankruptcy. However, if you are just looking for an extra month or two in the property, this can be an option to prevent a foreclosure.
Sell Your House To A Reputable Cash Homebuyer To Avoid Foreclosure
Selling your house to a local investor who buys houses can be an option if you need to stop foreclosure within 24-48 hours. Some serious real estate home buyers have the ability to stop a foreclosure lightning-fast by purchasing the house and getting the bank paid off before they can go through with the foreclosure at the auction.
Another benefit of selling your house to a cash home buyer is that you won’t have to shell out thousands to an attorney to prevent the inevitable. These investors are able to offer some great deals because they have access to private funding and cash that allows them to move fast enough to help you avoid foreclosure altogether.
One of the biggest challenges is finding a reputable home buyer. You will want to seek recommendations from friends and family, check online reviews, and do all of your research so you can work with the homebuyer who is the best fit for your and your situation.
How Capstone Homebuyers Can Help
Foreclosure is a scary word and it can feel like there’s no way out. You might be thinking, “I don’t want to lose my home,” or “How will I afford a new one?” You’re not alone. Tens of thousands of homeowners are in the same boat as you every year.
We understand that you may be feeling overwhelmed, but we want to assure you that there is hope. Capstone Homebuyers is here to help you find a last-minute solution to your foreclosure problem. We work quickly and efficiently to get you back on track. Our team has years of experience helping homeowners just like you get back on their feet and we can help you too. Contact us today for a free consultation.