Wondering what the available options are when facing foreclosure? We've got you covered! Read on to learn of the different alternatives.
Given the recent news about the federal foreclosure moratorium ending, you might be wondering what – if anything – it means for you. Let’s start with the basics…
Foreclosures happen when a property owner stops making payments on a mortgage loan, so the bank or mortgage lender takes possession of that property, often against the homeowner’s will.
For millions of people, these federal regulations – which expired on July 31, 2020 – were keeping their households afloat throughout the duration of the COVID-19 pandemic. Although these moratoriums have officially come to an end, borrowers with federally backed loans can still receive pandemic forbearance – permission to temporarily reduce or pause monthly mortgage payments – protections until September 30, 2021.
The Consumer Financial Protection Bureau (CFPB) says that if you received forbearance under the Cares Act and you’re still experiencing financial hardship because of the pandemic, you may be entitled to ask for and receive an extension. It’s important to note that forbearance should end with a payment plan in place, so you’re not required to pay back all skipped payments in one lump sum.
According to the CFPB, a loan servicer usually can’t start the foreclosure process before Jan 1, 2022.
There are many available options when facing foreclosure, and the first step is to talk to your mortgage lender to create a plan. There are also government agencies that offer counseling and assistance, like Making Home Affordable.
Until now, selling your home meant you had to leave. Truehold’s new sale-leaseback option allows you to sell your home and remain living there as a renter. Although sale-leasebacks are relatively new to the residential real estate space, they are a tried-and-true financial instrument, and they require taking on no debt.
With Truehold’s sale-leaseback option, you’ll receive all of your home’s value in cash, verified by comparable market transactions and a third-party valuation.
We immediately rent your home right back to you for a fair market rate based on similar local rentals.
We’ll take care of your average homeowner maintenance cost, taxes and insurance. All you have to do is pay monthly rent and cover your utility bills.
You seamlessly keep living in your home until you decide it’s right to leave—whether that be in a year, twenty years, or even just a few months.
Chat with a real person & get an offer for your home within 48 hours.Call (314) 353-9757