Why You Need to Sell Quickly to Save Your Credit

Are you overwhelmed with too many debts? Have you filed for bankruptcy, or need to sell your home fast to avoid foreclosure? You aren’t alone. Many homeowners face situations that could damage their credit rating if they can’t pay the bills. Many people are underwater on their home mortgage, which means that their mortgage balance they are paying on is greater than the fair market value of the home. For these reasons, you will want to sell your home fast to eliminate one of your debts. You can try federal housing programs to help you, or you can sell to an investor quickly.

 

Avoid Foreclosure

If you have missed more than three months of mortgage payments, you might have received a stern letter from the lender that it will begin foreclosure proceedings. In this case, you would be motivated to sell your house fast. You will have to do some research to find the right investor. For example, if you choose a real estate investment company, you would not have to complete costly repairs to your house to sell it fast. You also would get the benefit of quick cash that you can use to pay your other obligations. The proceeds of the sale would go first to pay off the lien, and the remaining would be your discretionary funds. 

Loan Modification Goes South

You decided to use the Housing and Urban Development Administration’s Home Affordable Modification Program (HAMP): HAMP lowers your monthly mortgage payment to 31 percent of your verified monthly gross (pre-tax) income to make your payments more affordable. The typical HAMP modification results in a 40 percent drop in a monthly mortgage payment. Eighteen percent of HAMP homeowners reduce their payments by $1,000 or more. Click Here for more information. However, not every homeowner qualifies for this program. Also, not all lenders are willing to give you a loan modification. If your application for a loan modification is denied, you could turn to using an investor to sell your house quickly.

House Is Set for Auction

Despite your best efforts to catch up on payments or apply for loan modification, the bank has scheduled your house for auction. You may be unable to stall the auction date. The only way to ensure that potential profits go into your pocket is to sell your house fast to an investor who has experience buying these homes and works with a reputable title company. Time will be of the essence, so it is of the upmost importance to go under contract with experienced investors with an excellent closing track record. It would be a joint effort between you as the seller, and the investor, to get the title company everything they need to close the transaction quickly. An investment company like Whitestone Acquisitions can easily guide you through the process and make sure your credit remains unblemished. 

Save Your Credit

Not paying your mortgage is disastrous to your credit, and will show up on your report for 7 years. This not only causes issues for future financing, but potential employers pull credit and often believe that if you have trouble meeting your financial commitments, you also will have trouble meeting the commitments the employers ask of you. This stress could be completely eliminated if you sell to an investment company, such as Whitestone Acquisitions, that will pay mortgage, closing costs, past due property taxes and even overdue homeowners association fees. 

If you have questions about what your home is worth, you can find the answers online at www.whitestoneacquisitions.net.