Facing foreclosure is a situation that hardly ever crosses a new homeowner’s mind.
The dream came true, it is time to move the family to the new home, to work hard, and one day pay the mortgage off completely.
But every road is full of ups, downs. All of us are subject to unexpected changes. In many cases, a homeowner is unable to make his/her mortgage payments.
A decrease in income frustrates anyone, and many people react to this situation by doing nothing.
Foreclosure may take a psychological toll.
Relationships with friends, family, and, even worse, a spouse, may deteriorate.
Furthermore, how are children affected?.
To do nothing is not a solution. You need to act now. Shake off that feeling of defeat, and look for options to correct the problem right away.
What Is Needed To Avoid Foreclosure In Portland?
The first thing to do is to talk to your bank or credit institution to find out if they have any assistance programs, or perhaps negotiate the overdue payments.
Some banks agree to move late payments to the end of the loan, so you can restart as if you were up to date on payments, obviously you have to pay the fines and interest on arrears.
On the City of Portland website, there is information that guides owners on how to avoid foreclosure. Similarly, information is found on the Oregon state web page. Oregon has legal aid low-income programs for people who are losing or already have lost their income.
In Portland, there are law firms that specialize in real estate law and have a lot of valuable information on avoiding foreclosure.
The Coronavirus Pandemic has caused great economic damage to our nation, many people are unemployed in Portland. Statistics show that in April 2020, unemployment rates reached 14.7%. In March we were at only 3.2%.
Foreclosure In Portland, Oregon
Generally, a lender cannot start a foreclosure process before 120 days after the debtor has stopped making payments. The law requires lenders to inform the debtor of the ways in which the judgment can be avoided.
In the judicial process, a lender has to file a lawsuit in court, and the homeowner receives a notice from the court to take the necessary steps to prevent the trial from opening. If a court determines that a lender can act on a property, a judgment is issued so the house can be sold and the credit institution can recover the value of the home.
Non-judicial process. In Portland and in the state of Oregon many residential foreclosures are handled out of court. This is because the Power to Sale clause included in the mortgage agreement authorizes lenders to sell a property in default with the intention of recovering the value of the credited debt.
Whatever the mode of the Foreclosure, the banks or lenders have the right under the law to sell a property when the homeowner has defaulted on payments for more than 120 consecutive days.
What To Do Before And During A Foreclosure In Portland?
As a homeowner who is about to face foreclosure or even during the court process you can do many things.
To request a personal loan that covers the past due amount on the mortgage loan plus the corresponding penalties and interest, could be a good option. But considering the history of fault on payments and the inability to meet credit obligations, a personal loan is typically unattainable.
Hiring a Real Estate Agent specializing in the foreclosure property sales process or the ones about to enter a foreclosure is another option. The downside of this is the time it would take to find a motivated buyer. If for instance, the current value of a house is less than the value of the debt, the debtor has to bear the difference.
Short Sale. A Short Sale means a property sold for less than the debt with a lender, in a case like this the lender authorizes the homeowner to make the short sale. Some lenders forgive the difference, but in most cases, the lender gets an order called Deficiency Judgment in court, where the debtor agrees to pay the difference.
Selling your property to Better Off Home Buyers. In Portland, we help those who are behind on their mortgage payments, or who are in the process of a Foreclosure by buying their property fast for cash.
How Better Off Home Buyers Helps You When You Need to Sell Your Home in Foreclosure?
If you are going through a difficult time if you are behind on your home payments or are facing foreclosure. We can buy your property.
The property buying process we have at Better Off Home Buyers is fast, transparent and we pay in cash. When a homeowner who is in a foreclosure proceeding reaches us we explain to him that in cases like these, the process requires more time, but it is something that we know in detail.
Our team takes all the necessary steps to complete the purchase, it is necessary to contact the corresponding people who handle the property, the liens, debt, and everything that may be involved in the purchase transaction.
Selling your property before the lender takes legal possession of it is great because your credit history will not be drastically affected. A Foreclosure stays on your credit for 7 years and negatively affects any required credit transaction. While a record of default for a few months does not affect credit to a greater extent.
Losing your house to Foreclosure is a hard experience and in many cases, the consequences are worse, but being able to sell before the judgment is executed gives you a lifeline. It is necessary to relocate the family, to continue working hard, and to have faith that everything will turn out well. The state of Oregon has information to guide you in what you can do after selling your house.
Contact us, we will gladly assist you.
Our sympathy and our heart go out to the people who have been affected by all the events that have been taking place this year in our country. We sincerely hope that tranquility, tolerance, harmony, and peace, are the main ingredients to our great nations continued growth and success.