So your foreclosure date is fast approaching and you need to take action now. Are there any options available to you? Yes. While there aren’t as many as there would be if your foreclosure date were a few months away, even with short time there are still a few things you can do to stop foreclosure in Hagerstown. Learn more in our blog.
Here are 4 options for stopping foreclosure at the last minute.
Ways to Stop Foreclosure in Hagerstown at the Last Minute
File For Bankruptcy
Filing for bankruptcy might not end a foreclosure entirely, but it will at least put a temporary hold on the proceedings. When you file for bankruptcy, you get what’s called an automatic stay, which essentially prevents the lender from foreclosing on the home or trying to collect the debt you owe for a month or two. During this time, you can attempt to work out another strategy to stop foreclosure, such as a loan modification or mortgage remediation. As far as Chapter 13 vs. Chapter 7 is concerned, you may have a better chance of keeping your home with a 13 than with a 7.
However, there are a couple drawbacks.
First, the lender can file a motion for relief from the stay, and if this is granted they could continue with the foreclosure. Second, bankruptcy will do just as much damage to your credit score as a foreclosure would. And of course, there’s no guarantee that you will be able to complete the repayment plan.
Get a Loan Modification
While this isn’t an absolute last minute way to stop foreclosure in Hagerstown, it can work if the foreclosure date is 37 days away or more. If you file what’s known as a loss mitigation application and it is received more than 37 days before the date of the foreclosure sale, the lender has to stop foreclosure proceedings while the application is pending. If it’s received at least 15 days before, then the lender must at least review the application.
However, the lender can continue with the proceedings if:
- You reject all loss mitigation offers
- You don’t comply with the terms of a loss mitigation offer
- The lender tells you that you’re not eligible for any options. You can appeal this, but if your appeal is rejected, the foreclosure can continue.
File a Lawsuit
If you think the lender is not foreclosing in accordance with the law, you can file a lawsuit to stop the foreclosure. This only works if the foreclosure is a nonjudicial foreclosure, meaning one that’s being done outside of the court system.
Sell Your Home with Grays Home Solutions
Looking for an alternative method that will help you stop foreclosure in Hagerstown? Sell your home with Grays Home Solutions. We’re a home buyer working throughout Maryland and the Tri-state area. What are some good things about working with us?
- We’ll make an offer no matter where your home is, what condition it’s in, or how much you owe.
- We buy within 7 days once you accept our offer. So even if your foreclosure date is coming up fast, you can still use us as a solution.
- You won’t need to do any repairs on your home.
- We may be able to pay you in cash.
Interested in learning more? Use our fast response contact form or call us at 240-347-3141. We’re a free service and we’re here to help.