Did you know that there were 1,706 Dallas foreclosures in November 2016? In fact, that same month in some Dallas zip codes, 1 in every 495 homes was in foreclosure.
No one wants to foreclose on their home or property. However, when hit with unexpected calamities, like getting a divorce or losing a job, you may find yourself unable to avoid running into mortgage paying trouble. In these cases, foreclosure can seem like your only option.
But while that may be the case, it is important that you take the time to understand Dallas foreclosures. You will want to know how the process works so that you can make the best plan for you. Once you understand Dallas foreclosures, you may even discover that you have more options than you originally thought.
Once you understand Dallas foreclosures, you may even discover that you have more options than you originally thought.
Keep reading to get the 411 on Dallas foreclosures!
The Foreclosure Process, From Beginning to End
If you miss a payment on your mortgage on the first of the month, your payment will be considered delinquent. You will be charged a late fee and receive your first notice on the first of the month. After 30 days, your loan will enter default.
The foreclosure process itself typically begins when your loan payment is 60 to 90 days past due. At this point, your lender may begin acceleration procedures and may even demand that the loan be paid back in full.
Most home foreclosures in Texas are non-judicial, meaning that the lender does not have to go to court before selling your home. You can find out if your mortgage loan is nonjudicial by looking at the mortgage agreement. If the agreement includes a power of sale clause, that means your lender can sell your property without first filing a lawsuit.
If the agreement includes a power of sale clause, that means your lender can sell your property without first filing a lawsuit.
If you can’t come up with the mortgage payment and arrears, then your home will be sold at a foreclosure auction and the proceeds used to satisfy the debt.
Foreclosure sales in Dallas are held on the first Tuesday of every month at the Dallas County Courthouse.
The entire foreclosure process can take anywhere from three to six months.
The prospect of foreclosing on your home or property can certainly be scary. But the more you know about the process, the less likely it is that you’ll be caught off guard. Understanding the foreclosure process can help make the whole situation seem less overwhelming.
Ways You Can Stop Dallas Foreclosures
You have more options than you realize. If you do your research and keep a cool head, you may be able to avoid foreclosure altogether.
Here are the top steps you can take to stop Dallas foreclosures:
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Don’t ignore the problem.
When you’re getting hounded by endless phone calls, emails, and notices in your mailbox, it can be tempting to simply ignore the problem. However, this is exactly the opposite approach you should be taking.
Open your mail, read your notices. The best thing you can do for yourself is to stay aware of where you are in the foreclosure process. In addition, speaking to your mortgage lender can open up a number of options to either minimize your loss or avoid foreclosure completely.
In addition, speaking to your mortgage lender can open up a number of options to either minimize your loss or avoid foreclosure completely.
In fact, it’s actually a good idea to contact your lender before you start receiving notices. If you’re up front about the situation from the outset, there’s a good chance that your lender will do all they can to provide alternatives to foreclosure. Don’t forget, foreclosures are almost as inconvenient and unpleasant for lenders as they are for you, so it’s in the lender’s best interest to find you a better solution.
Don’t forget, foreclosures are almost as inconvenient and unpleasant for lenders as they are for you, so it’s in the lender’s best interest to find you a better solution.
That takes us into our next point.
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Communicate with your lender to explore options.
Your lender may offer refinancing arrangements to allow you to avoid foreclosure. They may talk to you about listing your home for a short sale or they may suggest other ways to mitigate your losses.
Additionally, your lender might be willing to postpone the foreclosure sale if they see that you are actively working towards resolving the issue.
However, even if you and your lender are unable to find a solution, don’t despair. Instead, realize that you still have options.
For example, you can…
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Consider liquidating your assets.
You already know the negative impact a foreclosure will have on your finances and credit score. That’s why you’re here, researching all the ways you can avoid becoming one of the thousands of Dallas foreclosures this month.
Don’t underestimate the effect of reducing your spending and liquidating assets in order to get the cash needed to catch up on your mortgage. Think about monthly payments that you could do without, like cable subscriptions, cell phone bills, or second car payments.
In addition, consider what valuables you own that could be sold for cash, like jewelry, extra vehicles, or investments.
If you are willing to do without unnecessary luxuries, you may find that you actually do have the means to catch up on your payment. You may even find that you have assets to sell that could get you out of trouble completely.
That leads us into our final way to stop Dallas foreclosures.
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Sell your home.
If your house is worth more than the balance owed on the mortgage, you are in a position known as positive equity. That means that if you’ve considered all your other options and are still facing foreclosure, you should think about selling your house.
If you do choose to sell your home, you’ll come away from the situation with no mortgage debt, less damage to your credit score, and probably even a little profit from the sale.
Dallas foreclosures can happen quickly thanks to the power of sale clause. That means you will need to act fast.
That’s where we come in. At CashOffersDallas.com, we buy homes in Dallas and other surrounding cities.
Because we pay in cash, the deal can close quickly, avoiding traditional listing fees and waiting periods. We’ll make you an offer, and if you decide to accept, you’ll have the cash in your hand in as little as seven days.
We could be the solution to your problem. Check out how our process works and get your offer today!