The foreclosure process in Missouri begins when the borrower is in danger of defaulting on their loan. The amount of payments that a lender is behind in varies from bank to bank, but the common theme is that payments have ceased coming into the lender. Foreclosure is when the lender legally seizes possession of the property in question; everything prior to this is called pre-foreclosure.
What About the Bank?
Not surprisingly, banks do not want to seize homes from their borrowers! They do so in order to protect their assets, but real estate owned (REO) properties are considered a non-performing asset by lenders. In other words, they are not making money for the bank. Additionally, many banks require cash holdings in the amount of the property’s value, or more. This is money that the bank cannot lend out—another addition to their list of non-performing assets. What does this mean for you? By working with Starting Point Home Solutions, we may be able to save your home from the foreclosure process!
Pre-foreclosure in Missouri begins when the lender files a legal grievance against the borrower. This can take the form of a judicial action or a non-judicial action. While there will be slight differences from state to state, the result is the same: the bank has taken the first steps toward protecting their investment.
The foreclosure process ends when the property is auctioned off by an impartial third party, usually an attorney. If there are interested parties in purchasing the home, this is where they will be able to place their bid with the bank. The bank can place a deficiency judgment against you for the balance remaining. However, we want to stop the foreclosure process before it ever gets this far! There are many opportunities for distressed homeowners to cease the foreclosure process, and Starting Point Real can help you find the correct solution.
Wage garnishment is a scary prospect. Suddenly you receive a fraction of what you were making at your job beforehand. In these instances, your employer is forced to give a portion of your paycheck to the creditor or institution that is owed money. Garnishments will continue until the debt is paid off or arrangements are made to pay off the debt. If you are facing wage garnishment, Starting Point Home Solutions can help you determine what you’re facing and where to turn next. If foreclosed on the bank has the right to place a deficiency against your assets including bank account and garnish your wages. Wage garnishments cannot legally be put in place during the foreclosure process. The bank has collateral that it can seize with the foreclosure—your home. This is in your favor as while you are still living at your property! You have the ability to continue to earn a full wage or salary, without the worry of having a reduced paycheck.
Can I Save My House?
After working with hundreds of local families in your situation, we can confidently answer this question with a resounding YES! It is within your power to keep your home from being taken away from you. The easiest way to keep your home is to pay the balance of what is owed on your mortgage. For most people this is not an option, however. Therefore, by contacting the real estate professionals at Starting Point Home Solutions for a free consultation, we can present your options and begin putting together a plan for you.
Remember, the bank truly does not want to own your home! By working with a real estate solutions company, such as Starting Point Home Solutions, you stand a much better chance of not losing your property to the bank.
What About My Credit?
Like bankruptcy, foreclosure on your credit report remains for seven years and can be a major hindrance to finding other sources of credit! Credit cards, a car loan, or another mortgage–a foreclosure can have a serious impact on your life. With this in mind, it is important that you do all you can to stop a foreclosure. Starting Point Home Solutions has helped hundreds of local families stave off foreclosure, and begin rebuilding, or even improving, their credit scores!
Your credit report is the single biggest thing many lenders look at when making a decision about allowing you to borrow money. Therefore, we want to keep it as clean as possible! By taking care of other obligations you might have, Starting Point Home Solutions can help solidify the impression that you are a responsible borrower to future creditors.