There is nothing more devastating to a family than the prospect of foreclosure. You own your home, and you love it. However, due to unfortunate circumstances, foreclosure may seem imminent.
For local Washington families facing foreclosure, the stress can be almost unbearable. Worse yet, the foreclosure process can take months or even years, stretching out the pain.
It is good that you have options in Washington — perhaps more than you think. Several strategies help with foreclosure in Washington; these are legal foreclosure avoidance strategies that will help you resolve your foreclosure issue.
Foreclosure is a legal process in which a lender takes possession of a property from a borrower who has stopped making mortgage payments. This process can be stressful, time-consuming, and costly for both parties involved. However, a real estate investor can help someone avoid foreclosure in Washington state by offering different options to the borrower.
First, a real estate investor can buy the property directly from the borrower. This option is known as a “short sale.” In this scenario, the investor negotiates with the lender to accept a lower payoff than the total amount owed on the property. Once the lender agrees to the sale, the investor can purchase the property and pay off the remaining mortgage balance. This option can be beneficial for the borrower because it avoids a foreclosure on their credit report and allows them to walk away from the property with some cash in hand.
Second, a real estate investor can offer to take over the mortgage payments from the borrower. This option is known as “subject to” financing. In this scenario, the investor agrees to take over the payments on the property while leaving the mortgage in the borrower’s name. The borrower can move out of the property without damaging their credit score. The investor can then rent out the property and use the rental income to cover the mortgage payments.
Third, a real estate investor can offer to buy the property from the borrower and then rent it back to them. This option is known as a “sale-leaseback.” In this scenario, the investor buys the property from the borrower and then leases it back to them. The borrower can then stay in the property as a tenant and pay rent to the investor. This option can be beneficial for the borrower because it allows them to stay in their home and avoid the stress of moving.
Finally, a real estate investor can offer to pay off the mortgage and then sell the property back to the borrower on a contract-for-deed or lease-to-own basis. In this scenario, the investor pays off the mortgage and then sells the property back to the borrower on an installment basis. The borrower can then make payments to the investor over time and eventually own the property outright. This option can be beneficial for the borrower because it allows them to keep their home and eventually own it without having to come up with a large down payment upfront.
In conclusion, a real estate investor can help someone avoid foreclosure in Washington state by offering different options to the borrower. These options include a short sale, subject to financing, sale-leaseback, and contract-for-deed or lease-to-own. Each option has its own set of benefits and drawbacks, and it is essential to work with a reputable investor who can guide you through the process and help you make an informed decision.
If you find that you’d love to sell your house to get out from under your Washington foreclosure…
Give us a call today at 360-910-1979 or click here to fill out the form and we’d like to make you a fair all-cash offer on your house.