What are my options if I’m facing foreclosure in Chattanooga?

Foreclosure can be one of the scariest words as a homeowner when you are struggling to pay bills. Because of any number of factors, paying your bills is not always as easy as it seems and can make you worry about keeping your house from the bank. Luckily, owners facing foreclosure in Chattanooga can have a number of options to help you avoid foreclosure. If you need help to prevent foreclosing on your house, reach out to Favor Home Solutions at 423-509-8686 to see how they can help you avoid foreclosure and avoid the ugly side effects that foreclosure brings. 

Why you need to avoid foreclosure

Many homeowners are aware that foreclosure is a bad thing, but not everyone knows what it is really about.  At its core, foreclosure is when the bank can take your house away from you if you are unable to make payments. If you are facing foreclosure, the damage it can cause to you even goes beyond the bank just taking your house. Once the property is foreclosed on, your credit score is likely to be damaged a substantial amount. The damage to your credit score not only reflects bad on you now, but it can make it nearly impossible to buy large assets with a bank in the future. To avoid foreclosure on your house, look to one of the ways below for advice. 

Ways to avoid foreclosure 

Make up your payments

Since foreclosure comes along when you are not paying your bills, the easiest way to avoid it is to try and find a way to pay your bills. Working with your bank and getting a conversation started will allow you to understand what is needed on your end for the bank to not foreclose on your property. Often things like extensions, loan modifications, and other options exist, but they often still have some damage on your credit score. Also, it is likely you will have to pay some fees for the bank to alter your payment methods. 

Let it foreclose 

If you really can’t pay your bills and accept your fate, you can simply not do anything and let the bank foreclose on your house. This will start with them notifying you of the foreclosure before they eventually begin to claim your assets and home. Once they take your home, you will no longer own the rights to it and need to find somewhere new to live. To rub salt in the wound, your credit score after foreclosure is going to be substantially worse and it will be hard for you to take out loans and payments until you fix it. 

Sell with an agent 

With foreclosure being a serious threat, the option to sell your house can get you out of immediate trouble. The first thing most people think of doing is looking to sell with an agent. An agent is someone who works with a larger real estate firm to sell your house. This can be an option for many people, but working with a real estate agent can take upwards of 60 days to sell and they often charge many fees and commission along the way. 

Sell in other ways 

If an agent isn’t for you, look to Favor Home Solutions to buy your house. With cash offers coming to you in around a week or so, you can have money in your pocket and foreclosure gone away when you work with us. 

Key takeaways 

While facing foreclosure in Chattanooga always needs to be taken seriously, it is not impossible to avoid. When you take the time to understand your options and are smart with choosing your avoidance method, you could have your home in good hands and your credit score saved.

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