But what happens next?
Even with extension after extension, nothing is guaranteed, and what ultimately will occur is extremely influx. Southern Loan Servicing can help homeowners seeking a permanent solution and avoid the foreclosure process altogether!
How selling the property as subject-to or Bond for Deed may help
The seller is not paying off the existing mortgage. Instead, a new buyer is taking over the payments. The unpaid balance of the existing mortgage is then calculated as part of the buyer’s purchase price. The buyer may need to have a down payment to cover the past due payments, or the seller may need to work out a plan with their mortgage company before completing the new sale. Still, it could prevent foreclosure and the negative impact on credit.
Under a subject-to agreement or Bond for Deed, the new buyer makes payments to a loan servicing company (like us!), who in turn makes the payments to the seller’s mortgage company.