Can I Sell My House If I Am Behind on My Mortgage?
Yes, you can sell your house even if you are behind on your mortgage payments. In fact, selling quickly is often the best way to protect your credit and avoid foreclosure. Acquily buys homes from homeowners who are behind on payments and can close in as few as 14 days.
When you fall behind on your mortgage, the clock starts ticking. In California, the foreclosure process begins after you miss several payments and receive a Notice of Default. From that point, you have approximately 90 days before the lender files a Notice of Sale, and then 21 more days before the auction.
Selling before the foreclosure is completed gives you several advantages. You control the sale and may walk away with money if there is equity. Your credit takes a much smaller hit than a foreclosure. You avoid the stress and public nature of an auction.
Here is what happens when you sell while behind on payments. The lender's payoff amount includes the missed payments, late fees, and any accrued interest. This total is paid from the sale proceeds at closing. Any remaining equity goes to you.
If you owe more than the home is worth, a short sale may be an option. In a short sale, the lender agrees to accept less than the full balance. Acquily has experience negotiating short sales with California lenders and can help facilitate this process.
The most important thing is to act now. Every month you wait means more missed payments, more fees, and less equity. Contact Acquily for a free cash offer so you know where you stand. Even if you decide not to sell to us, having an offer gives you leverage.
Frequently Asked Questions
Will selling stop the foreclosure process?
Yes. Once you sell the property and the mortgage is paid off, the foreclosure process stops. The sooner you sell, the more options you have.
Can I sell if I have already received a Notice of Default?
Yes. You can sell at any time before the foreclosure auction. Acquily can close quickly, often within the timeframe of a pending foreclosure.
Will I owe money after selling if I am behind on payments?
If your home has equity, the back payments and fees are deducted from the sale proceeds. If you owe more than the home is worth, a short sale or other arrangement may be possible.
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