The meaning of foreclosure and how it can affect a home sale

 

Offer Express explains what is foreclosure, and how it influences the sale of a home

Gahanna, United States - September 9, 2022 /Offer Express, LTD/

For every homeowner, the wonder and joy of owning a home are beyond anything else. But sometimes, life deals a harsh blow, and the overdue notices from the mortgage company can be paralyzing. 

Facing foreclosure in such a situation can be daunting, and it is advisable to take the help of a reputable company like Offer Express to explore their options.

What does Foreclosure of property mean?

Foreclosure is defined as the process by which the financial institution/money lender claims ownership of the property when the borrower/mortgage holder fails to pay up the monthly installments on time for the loan they took out for buying that property.

Can a home be sold if the payments are behind but not yet in foreclosure?

Once the bank/moneylender forecloses, the property is auctioned through the court-mandated steps. However, it typically takes months of formalities before the bank forecloses the property. This gives the homeowner plenty of time to act fast and sell their home to recover some costs. 

The way forward on a pre-foreclosure home sale

The ideal thing to do in such a situation is to take action, and here are a few steps to do just that:

1. The estimated cost of the home - To check how much the property is valued, it is a good idea to use an online estimation tool that processes the user's information against the home data available in the market and then flips out an estimated home value. Of course, this number is a preliminary one, and one can also go in for an expert opinion like a Home Estimator who would be able to give a more realistic fix on the value of the property.
2. Money owed to the lender - One needs to calculate what is owed on the mortgage, including any late fees and penalties. All the outstanding fees plus the principal and interest need to be deducted from the sale price to gauge whether one can profit from selling their home. 
3. Consider selling costs - To sell the home, the homeowner will need to consider selling costs for staging the home, closing fees, real estate agent's commission, etc. All of this will need to be deducted from the sale price. With some luck, homeowner can pay off their debtors and still have a little money left over. 
4. Consult a real estate agent with foreclosure expertise - Selling a house with a potential foreclosure looming over is no easy task, which is why it's best to consult a real estate agent with foreclosure expertise to sell the home. The agent will be the best guide to confirm the sale proceed calculations and help you stage, prep, and list the property on the market for a quick sale. 
5. Maintain communication with the money lender - It is quite a temptation to avoid taking calls from the moneylender and ignore all of their emails and correspondence. But in the long run, it would work out better for the homeowner to maintain communications with the lender. Most lenders would work with the defaulter to sell their home and recover costs than work against them and sell the house at a loss.  

Why Offer Express?

A premium real estate solutions company, Offer Express buys houses and wholesale properties, partners with local agents, offers investment opportunities to money lenders, and sells renovated and ready-to-move-in homes. With its abundant experience in all real estate transactions, Offer Express is an experienced and resourceful company offering hassle-free cash deals. 

Are you typing "Sell my house fast Cincinnati OH" in your Google search field? You don't need to look any further. Call (614) 820-5777 to know more about the real estate services at Offer Express.

source https://offerexpresss.blogspot.com/2022/09/the-meaning-of-foreclosure-and-how-it.html