You’re behind on your mortgage payments, and you don’t have a way to get caught up. Maybe you’ve lost a job or the house is more than you can afford. The lender is threatening foreclosure and you don’t see a way out.
If this is the scenario you’re in, don’t give up. A foreclosure will impact your credit and your prospects for the future for a long time. However, you can avoid foreclosure and even walk away with money in your hands.
Why Choose a Cash Buyer for Your Home?
You have a limited amount of time to do something before the foreclosure sale date. Most traditional home sales will take longer than the time allowed. The buyer must get approved for financing and the closing can take 30 to 60 days to happen.
With a cash buyer, you can close in as little as a week. They don’t need to go through a lender so the paperwork is minimal. Most cash buyers will take the property as-is, meaning no need for an inspection.
The buyer will negotiate a price with you which would allow you to pay what you owe on your mortgage in many cases. If you have equity in the home, you may even end up with enough cash to start over somewhere else.
What to Consider When Accepting a Cash Offer
Before you agree to a cash offer, you must know how much you owe and what the value of the property is. You must also know when you need the transaction to be completed to pay off the lender before the foreclosure date.
Most cash buyers understand about the foreclosure process, so they will work with you to get everything done in a timely manner. They want your property and you want to get out without ruining your credit.
You’ll find there are several options for dealing with a mortgage that is in default. You can talk to your lender to come up with a solution for your situation. However, if you cannot find an option that you can afford, consider the benefits of selling to a cash buyer so you can start over.