Frequently Asked Questions
Below are answers to the most common questions we hear from homeowners in situations just like yours. These FAQs cover everything from loan modifications to fast cash sales, and everything in between. Regardless of where you’re in the process, we’re here to help you move forward with clarity and confidence.
Can I stop foreclosure once it's started?
Yes, in many cases you can stop a foreclosure — even if it’s already in progress. The key is acting quickly. Depending on where you are in the process, options may include reinstating your loan (by paying past-due amounts), negotiating a loan modification, filing for bankruptcy, requesting forbearance, or selling your home before the foreclosure sale. Each option has pros and cons, so speaking with a foreclosure specialist or real estate expert can help you choose the best path forward.
How Much Time do I have before the bank forecloses on my home?
Generally, lenders start foreclosure proceedings when a homeowner is 120 days delinquent on their monthly payments. However, the entire process can take several months, depending on your state’s laws and the lender’s specific procedures. Some states require court proceedings (judicial foreclosure), while others don’t (non-judicial foreclosure), which can speed things up. The sooner you act, the more options you’ll have; waiting until the last minute can significantly limit your choices.
What is loan Modification and will it stop foreclosure?
A loan modification is a permanent change to the terms of your mortgage, such as lowering your interest rate, extending your loan term, or adding missed payments to the back of the loan, to make your monthly payments more affordable. If approved, it typically stops the foreclosure process, and your loan returns to good standing. Lenders are often open to this because it helps them avoid the costs of foreclosure. You’ll need to prove financial hardship and submit documentation, so it’s best to get started as early as possible.
Is bankruptcy a good way to stop foreclosure?
Bankruptcy can be an effective — albeit serious — tool for stopping foreclosure. When you file for bankruptcy, an automatic stay is issued by the court that immediately stops most collection activities, including foreclosure. Chapter 13 bankruptcy allows you to keep your home while you catch up on missed payments over time, while Chapter 7 may delay the process but could lead to the loss of your home. Bankruptcy has long-term financial implications, so it’s important to consult with a bankruptcy attorney to understand if it’s the right option for you.
