Can you sell your house if your mortgage is in forbearance?
No Texas homeowner wants to think about foreclosure. But when the unexpected happens and you lose your job or other income, you may be forced to face that possibility.
Before you go into foreclosure, there are other options you should consider.
What is Mortgage Forbearance?
Thousands of Texas homeowners asked their home loan holders for relief during the COVID-19 pandemic of 2020-2021. One method is mortgage forbearance.
In forbearance, banks can press “pause” on mortgage payment collections for up to 180 days. That can give homeowners time to find a new job or another way of avoiding foreclosure.
In some cases, homeowners can ask for an extension, if they still can’t make their house payment after the 180 days is up.
Selling Your House During Forbearance
If you’re running out of time on forbearance and you still can’t pay your mortgage, you might wonder if you can sell your house and avoid foreclosure.
The good news: you can do just that! You can put your house up for sale at any time during forbearance.
However, you should know that you will still owe the lender for any payments delayed during forbearance. For example, if your loan had been in forbearance for three months, you would need to pay the lender back the three payments you would have owed otherwise.
If you sell your house in forbearance, you may need to consider the amount of delayed payments in the sale price.
We Buy Houses in Forbearance
Selling a Texas house can be tricky even in the best of circumstances. When you throw forbearance into the mix, it can make things a lot more complicated.
Fortunately, we make it much easier! There are no agents, appraisers, or other third-parties involved.
We can even take over your mortgage payments through our Subject-To program.
It works like this:
- You contact us and ask for a free, no-obligation consultation.
- We arrange a convenient time to visit your property.
- Within 24 hours of our visit, we make you a fair, written, all-cash offer, with no obligation or pressure.
- If you accept, we act fast to enlist a title company, and we close in as few as 7 days.
Even if you’re down to your last few weeks of forbearance, we can help you get out of your mortgage and avoid foreclosure. That can mean saving your credit score from a severe penalty!