In this article you will learn the 5 ways foreclosure of your house will Impact you in the future. Real estate investors can offer a lifeline to homeowners facing the threat of foreclosure in Louisville. The foreclosure process moves at a slow pace, providing ample opportunity for homeowners to take control and change the course of their future.
It is crucial to be fully informed of the consequences of foreclosure and to take proactive steps to avoid it. By seeking guidance from experts at Simply Sold, homeowners can navigate through this challenging situation and secure a better financial future.
Whatever circumstances change to create the situation, homeowners who take steps to bypass the inevitable loss of the home will have the most control over their future. As the letters from the lender begin to arrive, there is still time to reach out to the lender and attempt to work towards an amicable solution.
The road ahead will be difficult for those who choose to keep their heads in the sand and wait for the lender to foreclose. Read on as we discuss five ways the foreclosure of your Louisville house will impact you in the future.
Costly
One of the ways the foreclosure of your Louisville house will impact you is the expense; your attorney will charge thousands, not to mention any fees that accumulate on the mortgage loan or from the process of foreclosure itself, which can be substantial as well. Therefore, allowing your home to fall into foreclosure is a procedure that is costly not only to you as the homeowner but to the lender, the local government, and local property owners.
Lose Equity
Another way the foreclosure of your Louisville house will impact you in the future is by the loss of equity. As homeowners pay down their mortgage balance, the difference in the amount owed and the home’s current market value is known as equity. As the fees and costs of the foreclosure add up, the equity you’ve built over the years will slowly begin to drop. Additionally, lenders typically go with the lowest appraisal value, further depleting the level of any remaining equity.
Future Credit
One of the most immediate impacts of the foreclosure of your Louisville house is the effect on your credit. While it won’t last forever, your foreclosure will be on your credit report for seven years. While not impossible to acquire credit with this red mark on your records, rest assured you will pay much higher interest rates as a penalty, making life even more expensive as a consequence. It will help your creditworthiness as you work towards rebuilding your credit and regain control of your financial future.
Future Homeownership
Qualifying for a mortgage will be difficult. Under several government programs, it will be impossible for the next seven years; if you qualify for VA loans, the period may be as short as two years following the foreclosure of your Louisville house. There are, however, some extenuating circumstances, such as illness, divorce, or job loss, that will allow these lenders to work with you, so don’t put your head in the sand again; reach out and take charge of your future.
Future Employment
As more employers run credit checks in the attempt to find more productive workers, your future employment potential has become another one of the ways the foreclosure of your Louisville house will impact you. If you are in this situation, concentrating on credit repair will work in your favor. Although it doesn’t make every job impossible, your hirability is more dependent on your creditworthiness if the job requires you to handle money or customers’ financial data.
Simply Sold is here to help. Discuss the impending foreclosure of your Louisville house with the direct buyers at Simply Sold without any obligations. The experienced pros at Simply Sold want to help you end your foreclosure nightmare today. Call Simply Sold at 502-309-2220 or send us a message to learn more.