It can be overwhelming to stay in your home after foreclosure in Chester, SC, but there are options available. Did you know that 47% of foreclosed properties are still occupied?
When you first hear that, you may be surprised… but we’re not. We see first hand the impact covid made on homeowners and how the banks have been speeding up the foreclosure process in Chester, SC. And it makes sense when you consider most people in Chester who are foreclosed on can’t afford to live anywhere cheaper.
Banks aren’t in the business to own homes. They are in the business to loan people money. When borrowers get behind on their mortgage or stop paying all together they will foreclose on the house. The bank then owns the home until they’re able to sell it to get all or most of their money back.
When a home sits vacant in Chester after it has been foreclosed there is a much greater chance that the house will begin to deteriorate at a fast rate. And there is a high probability of vandalism and theft. Often times the bank would rather have you in the property even after you stop paying your mortgage and the foreclosure is started because it can prevent vandalism and keeps the house in good working order.
The media loves to report on individuals living rent-free after foreclosure, with some reports alleging that banks have abandoned properties altogether.
In those stories, people are avoiding house payments for months, even years.
Man, that sounds great! Let’s all live for free. (wink)
Wait… it can’t be that simple, right?
Right.
No bank in Chester would purposely neglect to collect payments. The only way that you get to live without making any payments is when some major mistakes have been made. But you might get lucky! It’s possible, and it’s happened before. However, it’s not exactly legal to avoid payments that you owe, and it always ends with serious consequences for the borrower.
So why are some foreclosed homes Chester, SC occupied? Remember, no one wants the house to be vacant. Vacant homes are targets for vandalism and crime and they negatively affect the home values in the area. Chester has a large percentage of abandoned homes that plague neighborhoods. Our communities don’t benefit from vacant houses.
Staying in the property can help the bank keep the value of their investment, so it’s actually in their best interests to keep it occupied. Partly because of the ways that the foreclosure laws are structured in South Carolina, banks may ask you to leave while wanting you to stay.
Even after foreclosure, there are a few legitimate ways to continue living in your home.
How To Stay in My Home After Foreclosure in Chester, SC.
Keep in mind that depending on your situation and lender, not all of these options may be available to you. It’s important to seek professional guidance to navigate your way through foreclosure the process for your state.
1) Wait it out. This isn’t the best way. It’s actually a pretty bad decision, but it seems to be increasingly common. You definitely shouldn’t run away and abandon your house when the first notice of default shows up. Remember that the proceedings and the process take months and sometimes years. It’s not over until it’s over, so don’t give up too early. On the other hand, don’t wait until the sheriff shows up to evict you to start packing up your stuff.
2) Go to court. In very rare cases, judges are granting stays and delaying evictions. This is really only a valid choice if you (and your attorneys) can prove that the bank has neglected a legal requirement during the foreclosure process. During the past few years, a lot of fraudulent behavior at banks has been uncovered – so we may see an increasing trend of using the courts to stop foreclosure. Fighting banks with lawyers is very difficult, expensive and time-consuming, even if you’ve got a perfect case (most people don’t stand a chance).
3) Propose a move-out bonus. Buyers of occupied foreclosure properties often spend a considerable amount of money on lawyers and other expenses to evict the current occupants. However, there is a way to save everyone the time and cost involved: “cash for keys”. While it may sound a bit self-serving, offering “cash for keys” can help help a smooth transition for all parties involved. Additionally, it can prevent the property from being taken over by squatters and potentially help the bank and buyers. Chances are you have equity in the home anyway. When a homeowner calls us at the first sign of getting behind on their mortgage we are very successful showing the how much cash they can get out of their home. Before all the legal fees and late charges pile on. Getting cash for keys should be the last resort.
4) Rent it back. It may sound crazy, but some lenders with homes in Chester are willing to take on the homeowners as tenants in their property. That’s only a short-term fix, as they’ll want your agreement to vacate the premises as soon as they find someone to buy the property. In some cases, we can purchase the home and rent it back to you.
Selling your Chester, SC home early in the process will ultimately get more cash out of your home. And the families we have helped have been surprised at how many ways we can help them through this transition. For example, Mr. Davis needed the cash from his home to fix his truck and rent a u-haul. He needed someone to buy his house, provide cash before closing, and give him time to move out. He made arrangements to rent his home back for a short period of time.
We didn’t know his home was in foreclosure or his finical situation when he called us. When he called all he asked for was a cash offer for him home in Chester. The first time we meet with him about buying his home we were able to assess the condition of the property.
After we got to know him we learned the extent of his financial situation. Even if we could have offered him twice as much as the home was worth, he would not have been able to move out before we closed on the home. We put together a plan that provided him cash before closing to repair his truck, get a U-haul, and move out of the home. And yes, stop the foreclosure process.
Sometimes, people don’t have anywhere to go or the money to relocate. In those situations, we encourage homeowners to seek help through the Chester SC Housing Authority.
We can’t help everyone, but we might be able to help you.
We buy houses in Chester, SC, and would be happy to discuss your situation and what options you have to avoid foreclosure.
Give us a call anytime at 704-707-6016 or
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