Forbearance is a type of financial protection that allows homeowners to make lesser or no payments for a period of time, usually due to financial hardship. Many people found themselves seeking forbearance during the pandemic.
If you are coming to the end of your forbearance period, you may be wondering, “Can you sell a home while in forbearance?” The answer is that you can absolutely sell a home while it is in forbearance. In fact, many people consider this a great option if they see that they will not be able to resume payments at the end of their forbearance period.
Be Aware of Your Situation
It is essential that you fully understand your financial situation when you decide how to handle coming to the end of your forbearance period. You will have many options, but choosing the correct one will depend on whether you have the correct information to start with.
You Owe Less than Your Home is Worth:
This is an advantageous situation to find yourself in. The lender will need to be repaid fully from the profit of your home sale, but otherwise, selling will be simple. Find the buyer and sell the home and the profits, minus what you owe the lender, are yours to keep.
You Owe More than Your Home is Worth:
Things are more complicated but not impossible in this situation. You may be able to make a short sale, where you sell the home for less than you owe with the lender’s approval. Depending on where you live, you may or may not be responsible for paying the difference in the sale amount and what you owe.
In other cases, you may be able to simply sign the home over to the lender and walk away. This is called a deed in lieu of foreclosure. The major disadvantages to this method are that it is very likely to hurt your credit score, and you will most likely be expected to move out immediately.
How to Sell Your Home While in Forbearance
If you owe less than your home is worth, and your home is a currency in forbearance, you might decide that your best option is to sell the home. Many people do this to alleviate themselves of the financial burden of homeownership. However, a once desirable situation may become a burden due to sudden and unexpected changes such as deaths in the family, divorce, and changes in employment.
If you have found yourself looking to sell a home while it is in forbearance, you may be looking to sell the home quickly before you begin to owe payments again. Unfortunately, cash buyers are not always easy to find, and financing can really hold up the process.
A great option is a company that buys homes, like Handsome Homebuyer. This kind of reliable, reputable company can get you through the sales process in just a couple of weeks from quote to close.
Their process is very simple and will greatly expedite your home sale. You can contact them online and get a quick quote. Then, once you decide that you are ready to accept the offer, you will be able to close in less than a week if you need to. This process really puts you in the driver’s seat of selling your home.
Are You Selling a Home in Forbearance?
If you need to sell a home that is in forbearance, contact Handsome Homebuyer today. They will help you through the whole home sale transaction. Their process is simple, painless, and completely transparent.
Ready to sell your home that’s in forbearance? Contact Handsome Homebuyer and let them show you what they can do for you!