End of the Foreclosure Moratorium Florida (AFTERMATH)
Are you Concerned about Foreclosure Moratorium? If you are thinking that you might be facing foreclosure in the near future then you are not alone.
Many other fellow Americans might be finding themselves in a sticky situation come early next year due to the global pandemic that has affected the lives of millions.
What is by definition a Foreclosure Moratorium?
According to investopedia.com the definition of Foreclosure Moratorium is..
temporary suspension of an activity or law until future consideration warrants lifting the suspension, such as if and when the issues that led to moratorium have been resolved. A moratorium may be imposed by a government, by regulators, or by a business[source]
Now that you know what a Foreclosure Moratorium is, let’s dig into some helpful information that can be of a great benefit to you or a loved one that may be going though hard times.
Without a certain solution to financial woes, an immediate response to alleviate yourself of the impending loss of your home on your own terms is the wisest response.
Not only will save your credit from a recorded foreclosure but it will also save you from humiliation from being physically removed from your property by the marshals.
Educating yourself on your options can help you to focus your efforts towards recovering what you can from the property and avoiding the long-reaching consequences of foreclosure.
By working with a professional cash home buyer you can rely on, you will have a guaranteed closing date and will not have to worry about dealing with inexperienced cash buyers, who are often backing out of deals at the last minute or cannot qualify for financing after holding up your sale.
Without doing what it takes to ward off the foreclosure proceedings, here is what the end of the foreclosure moratorium may mean for homeowners in Tampa.
How Long Does It Take To Foreclose On A Home In Florida
According to foreclosure.com it usually takes 180-200 days and we will quote it below.
it usually takes approximately 180-200 days to effectuate an uncontested foreclosure. This process may be delayed if the borrower contests the action, seeks delays and adjournments of hearings, or files for bankruptcy.[Source]
We do not want anyone to experience this ordeal nor even be placed in a position to be subject to a foreclosure. But the reality is that some people experience it and it is on the rise.
The global pandemic has literally wiped out industries that was once thriving in their sector and now seem to be on their way to extinction.
To start, in certain city metro areas the restaurant industry has been brought to its knees. Especially in the beautiful city of New York where capacity has been brought down to 50%.
We do have a useful stop foreclosure guide that will give you valuable information on what steps to take first to help you in your situation.
Just simply download it below. The best part about it is that it is FREE!
Dealing With Foreclosure in Tampa
This is not the time to stick your head in the sand! Most people ignore the problem and when it is finally time to deal with it head on, it usually is too late.
Homeowners will begin to receive notifications from their lenders. Many people choose to ignore or may believe they have more time to play with but in reality it is a serious issue and must be taken care of fast.
Usually, there is a time period allowed for the homeowner to make the mortgage payments current. Sometimes depending on local laws it can be anywhere from one to two months before the beginning of the foreclosure process.
The Joint Economic Committee of Congress determined the average foreclosure has a cost of nearly $80,000 in total, including the lender’s loss and around $7,200 to the homeowner.
Depending on the circumstances, you may need an attorney. Fees for legal assistance in foreclosure proceedings vary, many attorneys offer a flat fee arrangement, ranging from $1,500 up to $4,000.
There may also be additional charges for itemized expenses such as court costs, postage or even travel. The end of the foreclosure moratorium may mean further indebtedness for already strained homeowners in Tampa.
How Bad Does Foreclosure Hurt Your Credit
No one want to damage their credit. But did you know that many people today did not know that having a foreclosure on your credit can actually lower your credit score.
For some borrowers with a good credit score, having a foreclosure on their record means that their score can drastically be lowered by 100 points and if you have an excellent score it can be lowered even more than that.
We have quoted below information from our friends over at CESI Solutions of what FICO actually has come out and stated according to foreclosures.
According to FICO, for borrowers with a good credit score, a foreclosure can drop your score by 100 points or more. If your credit score is excellent, a foreclosure could reduce your score by as much as 160 points.[Source]
The best thing to strive for is to not have a foreclosure on the history of your credit report because it can actually hurt you in the future.
It can stop you from applying for another mortgage right away, it can even stop you from getting certain government jobs.
There are so many other issues it can bring to your life that will stop you from accomplishing other goals. It may even stop you from renting an apartment.
Bottom line is you do not want a foreclosure recorded on your credit history.
The Financial Loss
At the end of the foreclosure moratorium, the payments on the mortgage that are past due will have been added into the loan, however, there will be no further acceptable delay on the monthly payments that follow.
So if you are still out of work and and can not find a job before the end the moratorium then you may be facing a foreclosure.
Our home is usually the largest investment we make and over time our equity is built. Without the intervention of life-changing circumstances, such as returning to work or new employment, the end of the foreclosure moratorium may mean loss of the equity in the property for homeowners in Tampa.
You may also still owe any difference in the amount the property sold for against your remaining debt on the mortgage to your lender, known as a deficiency, after the foreclosure.
A foreclosure will remain on your credit report for a period of 7 years. Higher interest rates will add to your costs of living on any credit you do qualify for, due to the foreclosure. In some cases, your chances at a job may be jeopardized by your credit history as well.
Moving Expenses Due To Foreclosure
The end of the foreclosure moratorium may mean eviction for homeowners in Tampa.
As the process moves forward, leading to the final step in the foreclosure process, the new owner takes possession. An eviction process will be carried out, eventually leading to the homeowners receiving notice of when the possession will take place, and the property must be vacated.
This time period can vary, from three to 30 days. Then you will be faced with the expenses of moving as a renter. you will need funds for deposits and utilities and everything involved in starting over in a new residence.
Do not delay, if there is no resolution to your financial situation in sight, you may want to consider selling your house now. Or as soon as possible.
Likewise, you may pay more for rent or may even experience issues in being accepted as a tenant. Experiencing the loss of your home in foreclosure and the eventual eviction that follows is emotionally draining in addition to the negative financial aspect.
If you don’t plan your life, others will do it for you, so the time to act is now!
The end of the foreclosure moratorium may mean enduring painful financial loss, watching your credit be destroyed, paying for an unsought relocation, and additional debt for homeowners in Tampa.
Through either a traditional listing with a real estate agent or selling on your own, there is no guaranteed closing date or even if the home will sell.
When you consider both the immediate and long term costs, it may be worth selling now at a lower rate than the traditional market, to guarantee your closing date and protect your future.
Stop Foreclosure Now
On January 1, 2021, your monthly mortgage payments will be due again and banks will start foreclosing – sell now to Ruben Buys Houses and avoid the loss of your home and all of the hidden costs of foreclosures.
We’re happy to answer any questions or concerns you may have. To learn more about us, what we can offer, and what the foreclosure moratorium may mean for you, send us a message or give us a call today at 8772440276.