The process of foreclosure can be rapid or lengthy and varies from state to state. The State of Tennessee allows both non-judicial and judicial foreclosures, but court foreclosures are rare. There are other options such as refinancing, a short sale, alternate financing, temporary arrangements with the lender, or even bankruptcy that may present homeowners with ways to avoid foreclosure. Websites which can connect individual borrowers and homeowners to lenders are increasingly offered as mechanisms to bypass traditional lenders while meeting payment obligations for mortgage providers.
A crucial first step to know your options is to know the specific clauses and stipulations that are part of your mortgage contract. A mortgage contract either contains a power of sale clause or not. If it does not contain the power of sale clause, the lender must sue you to obtain a court order to foreclose on your property (judicial foreclosure). When the contract does contain a power of sale clause, the lender can proceed with a foreclosure without going through the court system (non-judicial foreclosure.
Once you know you have a problem, contact your lender, before you miss payments or receive a Notice of Default. The average foreclosure in Tennessee takes less than two months to complete.
Talk to your lender or a loss mitigation (lender helps a borrower avoid foreclosure) specialist at the National HUD servicing center. The loss mitigation specialist should be familiar with available in Tennessee.
Request that your lender allow forbearance on your loan. With forbearance, the lender agrees to temporarily stop collecting loan payments from you, usually for a few months. Typically, a lender only approves forbearance when you can prove your financial troubles are temporary and will be resolved in the near future.
If you have missed a payment ask a family member or friend to borrow the money needed to bring your mortgage current. You may also be able to acquire the necessary funds with an alternative third-party loan or a mortgage refinance.
Sell your property to avoid foreclosure. If you know your fiscal health will not improve in the near future, talk to a loss mitigation specialist for a free evaluation to see if your property qualifies for a short sale (sale proceeds are less than the balance owed).
Apply for a deed-in-lieu of foreclosure with your lender. With this foreclosure avoidance option, you give the deed to your property to the lender and they accept the house as repayment of your loan.
We have extensive experience working through these issues and when you are ready to Sell Property in Tennessee then you are ready for the Tennessee Real Estate Professionals Diane O and Friends. For more information about Diane O and Friends and our real estate services please fill out the online contact form or give us all call.
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Office: 615-371-1544
Diane Cell Phone: 615-406-2184
Mandy Cell Phone: 615-477-6959
Fax: 615-472-7931
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