It’s too late to stop a foreclosure once your house has been sold at a court-ordered auction.
Selling your house is the best way to prevent a foreclosure, but once you receive a notification from your lender and you need to sell your house when you are in foreclosure, we can still help.
There’s no set calendar for your bank to notify you they plan to foreclose. When you’re 60 days late, the bank will send a notification to let you know you’re in danger of a foreclosure.
You have a month or two after that letter, at most, to arrange an agreement with your lender.
If you sell to us during that time, we’ll notify your lender that we have your property in escrow, and you’ll soon have the cash to resolve the late mortgage issue. You must have your lender’s approval for a sale during this time.
If you’ve gone beyond that notification without arranging for payment, your lender will file for a judicial foreclosure proceeding.
The court then has the final say in the sale of your home. We can also work with you during this time to buy your house!
If you can’t meet the court terms, the judge will order a publicly noticed sale. Your house is then on the auction block, and will be sold for whatever the auction bidders will pay.
Your bank typically bids to cover your mortgage amount, but there’s no guarantee that will happen, particularly if your home has extensive damage that needs repaired.
Once your house has been sold at auction, you’re no longer the legal owner. The bank will receive their cash, you’ll be charged for all the late fees, unpaid mortgage payments, and court and auction fees. Any money remaining will be turned over to you.
If your house sells below the amount of the mortgage due, you’re still on the hook for that debt!
You can avoid the fees and the headache of an auction sale by selling to us at any time before the gavel comes down at a public sale ordered by the court! Let’s talk about a no-obligation cash offer. Call us!