The wheels that drive foreclosures turn very slowly, and there is
ample opportunity to steer the ship in a new direction and salvage your
future. Sadly, foreclosure is entirely avoidable, yet lives are often
damaged for years because homeowners didn’t understand the consequences
and took no action to prevent the process.
Whatever circumstances change to create the situation, homeowners who
take steps to bypass the inevitable loss of the home will have the most
control over their future. As the letters from the lender begin to
arrive, there is still time to reach out to the lender and attempt to
work towards an amicable solution.
The road ahead will be difficult for those who choose to keep their
heads in the sand and wait for the lender to foreclose. Read on as we
discuss five ways the foreclosure of your Belleville house will impact
you in the future
Costly
One of the ways the foreclosure of your Belleville house will impact
you is the expense; your attorney will charge thousands, not to mention
any fees that accumulate on the mortgage loan or from the process of
foreclosure itself, which can be substantial as well. Therefore,
allowing your home to fall into foreclosure is a procedure that is
costly not only to you as the homeowner but to the lender, the local
government, and local property owners.
Lose Equity
Another way the foreclosure of your Belleville house will impact you
in the future is by the loss of equity. As homeowners pay down their
mortgage balance, the difference in the amount owed and the home’s
current market value is known as equity. As the fees and costs of the
foreclosure add up, the equity you’ve built over the years will slowly
begin to drop. Additionally, lenders typically go with the lowest
appraisal value, further depleting the level of any remaining equity.
Future Credit
One of the most immediate impacts of the foreclosure of your
Belleville house is the effect on your credit. While it won’t last
forever, your foreclosure will be on your credit report for seven years.
While not impossible to acquire credit with this red mark on your
records, rest assured you will pay much higher interest rates as a
penalty, making life even more expensive as a consequence. It will help
your creditworthiness as you work towards rebuilding your credit and
regain control of your financial future.
Future Homeownership
Qualifying for a mortgage will be difficult. Under several government
programs, it will be impossible for the next seven years; if you
qualify for VA loans, the period may be as short as two years following
the foreclosure of your Belleville house. There are, however, some
extenuating circumstances, such as illness, divorce, or job loss, that
will allow these lenders to work with you, so don’t put your head in the
sand again; reach out and take charge of your future.
Future Employment
As more employers run credit checks in the attempt to find more
productive workers, your future employment potential has become another
one of the ways the foreclosure of your Belleville house will impact
you. If you are in this situation, concentrating on credit repair will
work in your favor. Although it doesn’t make every job impossible, your
hirability is more dependent on your creditworthiness if the job
requires you to handle money or customers’ financial data.
Cardinal Creek Properties is here to help. Discuss the impending
foreclosure of your Belleville house with the direct buyers at Cardinal
Creek Properties without any obligations. The experienced pros at
Cardinal Creek Properties want to help you end your foreclosure
nightmare today. Call Cardinal Creek Properties at (314) 467-8137 or send us a message to learn more.
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