A house foreclosure happens when an owner defaults on the mortgage payments for the property. Property in foreclosure is often referred to as distressed property because the owner is in financial distress and has usually missed several mortgage payments. The owner's financial distress can be caused by a variety of unfortunate circumstances, but it often results in a potential opportunity for SBD Housing Solutions to help the owner.

Stages of Foreclosure:
The foreclosure process doesn't just happen overnight. A typical foreclosure timeline can extend more than three months. The different stages of foreclosure offer different types of opportunities for the seller to remedy the situation. Although this is a very brief overview of the legal process, we hope that this gives you a clear picture of the typical timeline of events.

 

Stage 1 - Pre-Lien:
For SBD Housing Solutions, buying a property in the pre-lien stage is the easiest of all. Sometimes homeowners have been struggling to make their mortgage payment but are not far enough behind to actually warrant any legal action. SBD Housing Solutions buys houses in this stage directly from the homeowner, thereby saving the owner the typical 6% real estate commission expense. Plus we buy the homes in “As-Is, Where-Is” condition, eliminating all the potential headaches of trying to sell a home in need of repair.

Stages 2 & 3 - Pre-Foreclosure:
Buying a property in pre-foreclosure involves approaching the owner in default with an opportunity to escape the situation free of mortgage debt and without a foreclosure on his or her credit history. For SBD Housing Solutions, pre-foreclosure sales are very time sensitive. If you are in this stage you must call immediately for a free, no obligation analysis today! We offer plans that can pay off all your existing debt, thereby stopping the pending bankruptcy or foreclosure and saving your credit. Moving expenses and cash in the pocket are frequently paid out to our clients in “move out” situations, but for those interested in staying in their home, “rent-back-to-owner” arrangements are often made.

Stage 4 - Foreclosure Sale:
If the default is not resolved by the end of the pre-foreclosure period, SBD Housing Solutions can attend a public auction scheduled by a trustee that is working on behalf of the lender. At this stage we are required to pay in cash and may have to bid against investors looking to buy the property. However, there are occasions in which we can work on the owner’s behalf to buy their home, and then set the former owner up on a payment plan to buy back the property from us. Obviously this is our least desirable option, as the homeowners would suffer the negative ramifications of a foreclosure on their credit report! *Note: Proof of income is also required in this stage

Stage 5 – Ownership Transfer:
Unless the sale is stopped ownership transfer occurs once the Trustees Deed of Sale is recorded (usually hours after the actual sale has been cried.)

Summary:
Foreclosure is a very serious blemish on your credit and we take great pride in stopping these damning proceedings from occurring. We look for win-win situations and guarantee a quick response to your call. Swift and decisive action is required whatever phase of foreclosure you find yourself in so don’t delay – call us today. Remember we encourage you to explore your options with no obligations.