How to Stop Foreclosure - Texas

Stop Foreclosure on Your House in Texas

Whether caused by job loss, medical bills, or life's unforeseen events, few things are as emotionally, mentally, and financially devastating as losing your home in foreclosure. Thankfully, there are several ways you can prevent your house from going to foreclosure, and many of them allow you to keep your property. That being said, foreclosures in Texas are very fast moving, so it is imperative that you act quickly to protect your equity. 

Call us at (512) 746-7447 today for help exploring your options.

Disclaimer: The authors of this article are NOT attorneys. All content is meerly educational, and nothing written here should be construed as legal advice. Seek competent legal counsel for your specific situation.

Save Your Home

If you still have income or will soon, you may be able to save your credit and your house from foreclosure. Here is how:

Repayment Plan

Whether you temporarily lost your job, had a family crisis, or anything else, this option best suits those who went delinquent for a short period of time and have the means to continue making payments. You can often negotiate with your mortgage company for a repayment plan, where you get to repay the delinquent amount on top of your existing payment, spread over 3 to 6 months.

Partial FHA Claim

If you have a Federal Housing Administration (FHA) loan, then you may be able to file a Standalone Partial FHA Claim. This zero-interest loan pays off your current arrears, and creates a second lien on your property that doesn't require payment until the first lien is paid off, the house is refinanced, or the house is sold. See more information at the HUD Website.

Forbearance

This option is best if you are currently unable to make full monthly payments on your mortgage. The bank is often willing to allow you to make reduced or no payments for a short time period. Keep in mind that you will still need the ability to make those payments, some banks will extend the term of your loan, while others will require a repayment plan.

Loan Modification

In this scenario, the bank works with you to restructure the terms of your mortgage to make payments more affordable. This often involves extending the term of the loan, changing to an Adjustable Rate Mortgage, among other options.

Refinance your Mortgage

Depending on your credit-worthiness, you may be able to refinance your mortgage in order to resolve your delinquent amount. Keep in mind that late payments negatively affect your credit score, so the terms of your new mortgage may be less favorable.

Short Refinance

Currently unfeasible due to market conditions, this option is for homeowners underwater on their loan with no chance of getting out. The lender agrees to refinance the house for the current market value and forgive the remaining balance.

Save your Credit

Deed in Lieu of Foreclosure

Here, you would give up your title voluntarily to the mortgage company to avoid being hit with a foreclosure. Oftentimes banks will only accept Deed in Lieu if there are no other liens or judgments upon the title.

Short Sale

Similar to a Short Refinance, all lienholders must agree to allow you to payoff your liens for less than owed, in order to allow you to sell your house at market value.

Payoff Mortgage Balance

If you have equity in your house, you can sell it to investors like us, who can close quickly with cash on a tight deadline. Even if you don't, there are many other ways we can help you resolve foreclosure on your terms, instead of allowing the bank to sell it on their terms at auction.