Are you a homeowner in Georgia who is facing foreclosure? If so, you may be wondering what your options are at this point.
This blog post will provide an overview of how the Georgia foreclosure process works. Discover how you can avoid foreclosure and what you can do if you can’t make your mortgage payments. Read on if you’re feeling lost and don’t know where to turn.
What is Foreclosure?
When a borrower defaults on their payments, a lender attempts to collect the balance of the loan through foreclosure. Georgia is a state with a “non-judicial foreclosure” system. In other words, the lender does not need to file a suit or appear in court to foreclose on your house.
How to Avoid Foreclosure
You can still avoid foreclosure if you’re struggling to make your mortgage payments.
Talk to Your Lender
Consider contacting your lender and negotiating a payment plan. It may be necessary to make smaller payments over a longer period of time.
Get a Loan Modification
A loan modification may be the answer if you are struggling to meet your current mortgage payments. This entails changing the terms of your loan, such as the interest rate or repayment period.
Sell Your Home
In case of financial difficulty, you might want to consider selling your home. Although it may be difficult to make this decision, it may be the best option to prevent foreclosure.
How to Stop or Delay Foreclosure
In addition to paying off your mortgage, selling your home can keep your credit score from being damaged by a foreclosure. There are three ways to go about selling your home.
Short Sale
You may be able to make a short sale if you are unable to sell your home for the full amount of your mortgage. In this situation, your lender accepts less than the total loan amount.
Deed in Lieu of Foreclosure
In the event that you cannot sell your home and are not interested in a short sale, you have the option to deed your home back to the bank in lieu of foreclosure. As a result, you will avoid foreclosure, and your credit score will be less affected.
Sell for Cash
Alternatively, you can sell your home for cash. A direct sale of your house can be a quick and easy way to avoid foreclosure if you sell to a homebuyer.
What to Do if You Can’t Avoid Foreclosure
The best thing to do when facing foreclosure is to seek legal advice from a qualified professional. With the help of a lawyer, you can understand your rights and options to ensure that you get the best possible result.
The Process of Foreclosure in Georgia
When facing foreclosure, understanding the process is essential. In Georgia, the foreclosure process can take one to three weeks to complete.
First, the lender sends a default notice. This usually means that one or more payments haven’t been made. Defaults can also occur when property insurance or property taxes are not maintained.
Next, the mortgage holder must inform the borrower in writing of its intent to foreclose. Under Georgia law, the notice must be sent at least 30 days before the proposed foreclosure sale.
Property foreclosure sales are held on the courthouse steps in the county where the property is located. Although bidding is open to the public, mortgage holders are often the only bidders. Ultimately, the property belongs to the winner of the bid.
The Consequences of Foreclosure
The consequences of foreclosure can be severe for homeowners and their communities. When facing foreclosure, homeowners may lose their homes and damage their credit score. New housing and credit can be difficult to obtain as a result. Moreover, foreclosure can be an emotionally draining and lengthy process.
The foreclosure process can also be harmful to communities. Property values can be lowered when nearby homes are foreclosed on. In turn, this can lead to a decline in tax revenue and an increase in crime.
Resources for Homeowners Facing Foreclosure in Georgia
If you’re facing foreclosure in Georgia, several resources are available to help you. These include:
- Making Home Affordable is a federal program that offers several options for homeowners facing foreclosure, including options from private lenders.
- Georgia HAF provides assistance with mortgage or housing expenses to homeowners who have suffered financial hardship as a result of the pandemic.
- Homeowner’s HOPE is a nationwide counseling service that can help you find a solution.
Avoid Foreclosure by Selling Your Home for Cash Today
If you’re facing foreclosure, selling your home might be your best option. At Favor Home Solutions, we understand this is a difficult time for you. You can count on us to guide you through the process and get the best possible price for your home.
Our team will:
- Evaluate your situation and make you a fair, all-cash offer
- Close on the date of your choice
- Take care of all the paperwork
- Pay all the closing costs
- And much more!
If you’re interested in learning more about getting a free, no-obligation offer for your home, contact us today!
