Foreclosure is a nightmare to any family going through it irrespective of the reasons why they are about to lose their home. Today we are going to look at the foreclosures effects in Fort Worth TX and what local house sellers need to know. First we will look at the effects and then the ways of easing them.
Foreclosure Effects in Fort Worth TX to Sellers
- Loss of your home – Pretty self-explanatory here. The major end result of a foreclosure in TX is of course the loss of the home to the bank.
- Decrease in Your Credit Rating – Your credit rating will be lowered by the foreclosure. How much? It depends on how high your current credit score is… but the higher your current credit score… the more your score will drop after a foreclosure. If you have a credit score of 680 or higher… you may see a drop of 100+ points.
- Depression and Stress – Your mental health is at stake because of the high pressure situation. Going through a foreclosure is emotionally exhausting and frustrating to say the least. It also may affect other family members as well.
- House Values In Your Community – Another one of the big foreclosure effects in Fort Worth TX is that they tend to lower the overall value of the houses in your neighborhood… especially if there are multiple foreclosures in the immediate area.
How You Can Ease The Effects Of Foreclosure In Fort Worth
For your well being of your family, you need to mitigate the effects of foreclosure as much as you can. The process can be frustrating and time consuming, but there are people who can help you navigate your different options in the process.
- Call your mortgage company and work with them: Most banks are very willing and ready to work with you… if you can show that with their help you can get back on track and save your house. Or, if you just want out of the house but you owe more on the house than it’s worth… see if the bank has any programs to lower the mortgage burden so you can get out from underneath it without it going through an expensive foreclosure. While you are still in the pre-foreclosure designation you still have options.
- Ask your mortgage company if you might be able to refinance into a lower payment before you go into foreclosure. But don’t wait too long to call the mortgage company because once you are in the foreclosure process you won’t be able to refinance.
- A second option if you aren’t able to refinance is to apply for a Mortgage Loan Modification. If you qualify it will change the terms of the original loan by lowering your interest rate or by changing the length of the payment terms. Either or both of these would lower your payments. A Mortgage Loan Modification might also include Principal Forgiveness where they agree to forgive a portion of your principal on the loan. Principal forgiveness is only considered if you owe more on your home than it is worth.
- Another option might be to request forbearance from the mortgage company. If approved this will pause your mortgage payments. But before the forbearance period is over you will need to have a new agreement with the lender. Unless you can pay the missed payments in a lump sum, the mortgage company will likely set up a plan to either increase your monthly payment or to extend the life of your loan.
- Talk with a local real estate expert, like Texas Best Home Buyers: We know the local Fort Worth real estate market well and are very experienced in the foreclosure process here in TX. Give us a call at (817) 808-4911 and we can help you understand your options such as loan modification, short sale or deed in lieu of foreclosure. We can guide you toward the resources that can possibly help you.
- Sell your house: If you’d rather find a way to sell your house and avoid the foreclosure all together, great! We buy local Fort Worth houses for cash… and would love to look at your situation and make you a fair all-cash offer on your house. Just call us at (817) 808-4911 or shoot us your details through this website.
With the above knowledge on foreclosure effects in Fort Worth – what sellers need to know, you can guard yourself by calling Texas Best Home Buyers at (817) 808-4911 and we shall assist you in the shortest time possible to sell your house. However, to fast track the process, kindly fill out our website contact form to give us more information about you. We’d love to connect with you and help you find the best possible solution!