First, Don't Assume It's Too Late
A foreclosure filing is serious, but don't assume you no longer have choices.
The further a foreclosure progresses, the fewer options you may have and the more costs may accumulate. HUD specifically advises homeowners not to ignore letters from their lender, to contact their mortgage servicer and to speak with a HUD-approved housing counselor. HUD-approved counselors can assist homeowners with many types of mortgages, not just FHA loans.
If you've received court papers, don't ignore them.
Contact your mortgage servicer, consider speaking with a HUD-approved housing counselor, and if a foreclosure lawsuit has been filed, speak with an Ohio attorney who handles foreclosure matters.
Not sure where to start? These trusted Ohio resources may help:
Ohio Attorney General Foreclosure Resources
Which Situation Sounds Most Like Yours?
The right next step depends on whether you want to keep your home, how much you owe, and whether you have equity. Start with the situation that best describes where you are today.
You want to keep your home
Start with your mortgage servicer. Depending on the loan and your circumstances, possibilities can include a repayment plan, forbearance or loan modification. A HUD-approved housing counselor can also help you understand what may be available. The CFPB specifically identifies these as possible alternatives for struggling borrowers.
You can't afford the home anymore, but you have equity
You owe more than your home is worth
You're not sure what you owe or what your home is worth
Do You Have Equity in Your Home?
You don't have to know the answer.
I can help you estimate your home's current market value and look at what could potentially remain after known mortgages, liens and selling expenses are paid. This is simply a starting point to help you understand the real estate side of your situation.
There is no obligation to sell your home or list it with me.
What Happens to Your Equity in Foreclosure?
If your home is worth more than what you owe, you may have equity. But the amount you could actually walk away with isn't simply the difference between your home's value and your mortgage balance.
Mortgages, other liens, taxes, legal expenses, selling costs and other obligations can affect how much ultimately remains for you.
Here's a simple example:
Home sale price: $400,000
Mortgages and other liens payoffs: − $300,000
Selling and closing costs: − $30,000
Potential remaining equity: $70,000
Example for illustration only.
Actual results depend on the property's sale price, mortgage payoff amounts, liens, taxes, legal expenses, selling costs and other obligations.
If you have equity in your home, you have something worth protecting.
Understanding approximately how much equity you may have can help you evaluate your options before deciding what to do next.
Want to read the Ohio law?
Ohio Revised Code §2329.33 addresses the statutory right of redemption in certain real estate sales.
Ohio Revised Code §2329.33: Redemption by Judgment DebtorWhat Does Foreclosure Do to Your Credit?
Foreclosure can affect you financially even after you leave the home.
A foreclosure generally remains on a consumer's credit report for seven years from the date of foreclosure. It does not necessarily mean you will never be able to qualify for another mortgage, but it can affect your credit and your ability to obtain financing in the future.
That's one more reason to understand your options before simply allowing the foreclosure process to continue.
Need Help Understanding Your Options?
You don't need to pay someone simply to learn what legitimate foreclosure-assistance options may be available. HUD-approved housing counselors can help you understand your options, and your mortgage servicer should also be a starting point for discussing possible loss-mitigation solutions.
Looking for legitimate help?
Find a HUD-Approved Housing Counselor
Concerned an offer may be a scam?
How I Can Help, and Where My Role Stops
My role is the real estate side of the decision.
I'm Rita Boswell, a Central Ohio REALTOR®. I'm not an attorney, HUD-approved housing counselor or foreclosure rescue company.
If you're facing foreclosure and may have equity in your home, I can help you understand the real estate side of your situation: what your home may realistically sell for, what selling expenses may look like, how quickly a traditional sale may be possible, and approximately what could remain after known mortgages, liens and selling expenses are paid.
If selling doesn't appear to be the right option, I'll tell you that too.
There is no obligation to list your home with me simply because we have a conversation.
Frequently Asked Questions About Foreclosure in Ohio
Is it too late to sell my home after foreclosure has been filed?
Not necessarily. Whether a sale is still possible depends on where you are in the foreclosure process, whether a foreclosure sale has been scheduled, title issues and whether there is enough time to complete the transaction. If foreclosure proceedings are underway, speak with an Ohio foreclosure attorney promptly about your legal situation.
What happens if my house is worth more than I owe?
Can I keep my house instead of selling it?
How long does a foreclosure stay on my credit report?
Should I talk to an attorney if I'm facing foreclosure in Ohio?
Do I have to list my home with you to find out what it may be worth?
Do HUD-approved housing counselors only help homeowners with FHA loans?