Facing mortgage forbearance can be stressful and uncertain for Connecticut homeowners. You can feel caught between a rock and a hard place. While forbearance provides temporary financial relief by pausing or lowering your mortgage payments, it is not a permanent solution. At some point, regular payments must resume, and the missed amounts must be repaid. If your financial hardship persists and you don’t see your situation improving anytime soon, selling your home before the forbearance period ends may be your best option. In this article, you will find everything you need to know about selling your Connecticut home while in forbearance.
Can you Sell Your Connecticut House in Forbearance?
Yes, you can! Your lender does not want to go through the hassle of forbearance and foreclosure either. You can legally sell your house in forbearance. Your lender needs to be paid the total mortgage balance, including any missed payments and interest accrued during the forbearance period. The remaining sale proceeds after repaying your mortgage would go to you as the homeowner.
Understanding Mortgage Forbearance in Connecticut
Before weighing your options, it’s essential to understand how forbearance works in Connecticut. Mortgage forbearance is an agreement between you and your mortgage lender to temporarily suspend or reduce your monthly mortgage payment for a set time.
In Connecticut, lenders must provide an initial forbearance period of up to 90 days if requested by a borrower experiencing financial hardship from circumstances outside their control. The forbearance can then be extended for two additional 90-day periods for up to 9 months of reduced or paused payments.
It’s important to note that forbearance is not loan forgiveness. You are still responsible for repaying the total amount of missed or reduced payments in the future. Your lender cannot demand repayment in a lump sum immediately at the end of forbearance, but you will have to work out an affordable repayment plan.
Forbearance will not immediately hurt your credit score if you uphold the agreement and resume regular payments on time once the forbearance period ends. However, the financial circumstances leading you to forbearance may have already caused some credit damage.
How to Resolve Forbearance in Connecticut
There are several ways to resolve the situation; you must explore them and not beat around the bush. Here are some ways to resolve foreclosure.
Modifying the Loan
You can talk to your lender to modify the terms of the loan. If the lender is willing, they can adjust your mortgage amount or interest rates to make it easier for you to pay off the loan.
Deed in Lieu
You can sign over the deed of the house to the lender. It helps you avoid a public auction, but you lose all the equity in your home. If the value of your property is less than the loan amount, you are still liable for that amount.
Sell Your House
Selling your cash can be the best solution to your forbearance situation. Home values are increasing, so when you sell your house, you may have enough equity to pay off the loan, fees, and fines and still pocket some money. You can use this capital to start fresh.
How to Sell Your House in Forbearance Fast
If selling your home seems like the best solution, you must act quickly. Time waits for no man, and forbearance can lead to foreclosure. You will lose equity in your home, which will harm your credit score.
Traditional selling methods are time-consuming and may not be the solution for you. You must stage your house and conduct expensive repairs, further damaging your finances. Then there is the endless showing, negotiations, and waiting for the right buyer to offer the right price. There is always a risk that the deal won’t close.
If you want to avoid the uncertainty and hassle of traditional listings, you can contact us to sell your house in cash. We are Neighbor Joe, your local cash home buyer in Connecticut. We act quickly and buy your house before you accrue too many late fees and fines.
Advantages of Selling to Neighbor Joe
Neighbor Joe is a cash buyer, and we buy your home for fair market value. Here are some advantages of selling your house to Neighbor Joe.
Sell Quickly on Your Timeline
Sell your house for cash on your timelines. Speed is the essence when trying to avoid foreclosure on your home. We make an offer within 24 hours of viewing and close in as little as seven days. We get cash from the sale of your house to you on the day of closing itself. Pay off your lenders and get a fresh start.
Streamlined Selling Process
Neighbor Joe has a streamlined process that makes selling your house a breeze. Sell your home to us in three simple steps. Get a quote, choose a closing date, and close the deal. Sit back and relax while we arrange the paperwork and handle everything. On the closing day, sign the deeds, hand over the keys, and get cash on the spot!
Sell Your House As-Is
We buy your Connecticut home as-is regardless of its condition. You do not need to stage the house for us. Our team will visit you and offer you cash for your house.
Selling your house as-is saves you time and money. You do not need to perform deep cleaning of the house. There is no need to paint the walls, fix the floors, or update the plumbing and electrical system. We are not deterred by whatever damage your home may or may not have. From leaking roofs to a cracked foundation, we buy all houses.
Repairs and maintenance work can significantly drain your already precarious finances. Save yourself the cost and hassle of repair and maintenance work, and sell your house to us today!
No Inspection
Neighbor Joe does not bring an inspector to inspect your house as we buy it as-is. As long as you want to sell, we are willing to buy. Since we are cash buyers, home inspection does not matter to us.
No Closing Costs, Commissions, or Fees
Selling to Neighbor Joe saves you significant cash you would pay to real estate agents as a commission. You do not need to pay us any commission for the sale of your house. We also take care of all closing costs on your behalf. Agent fees, closing costs, and other charges can add up to thousands of dollars. You keep all the money in your pocket when you sell to us.
No Financing
You don’t have to wait for lenders to approve the financing for your house, as we are cash buyers. We buy homes for cash without getting any financial institution involved. There is no hassle of waiting for the mortgage to be approved or worrying about denied loans due to your house’s condition or legal status.
No Negotiations
Avoid the hassle and headache of haggling over offers and counteroffers by dealing with Neighbor Joe. Our cash offers are based on the fair market value of your house. You don’t have to worry about being shortchanged by us. We do not lowball our customers and provide them with the best deal possible.
Sell your house with minimal hassle to Neighbor Joe, your trusted local cash buyer serving Connecticut. Our quick cash offers have been helping homeowners avoid forbearance here since 2018. Contact us for a no-obligation offer, or call us at 203-590-9487 to schedule a home visit today!