Dealing With Foreclosure In Oregon: What Are My Options?

by Jun 22, 2021

If you find yourself in a situation where you are constantly falling behind on your mortgage payments, you should know that a foreclosure is hanging around the corner. When foreclosure eventually comes, you will be asking yourself several questions, such as ‘can I sell my home to a cash home buyer in Salem, Oregon, if it is in foreclosure’? Yes, you can.

In this article, we will show you how you can deal with foreclosure in Oregon. We will help you understand foreclosure and the options you can explore to clear your debts within the shortest time frame. Let’s explore more.

What Does Foreclosure Mean?

Foreclosure happens when a homeowner fails to pay their mortgage payments. In the end, they will have to forfeit all rights to the ownership of their property. In most cases, once the home is under foreclosure, the mortgage lender will immediately evict the current homeowners. They will have to resolve to sell the home through a local real estate agent or liquidation auction.

In Oregon, the most common type of foreclosure is non-judicial foreclosure which does not require court interference. This foreclosure process usually takes almost 200 days. However, it depends on the negotiation process involved.

When dealing with a foreclosure case in Oregon, There is a right of redemption that allows the former owner of a foreclosed property to purchase the home 180 days after the sale.

What Do You Do When Facing A Foreclosure?

When people face foreclosure, they will be hiding from their lender, hoping that the issue will die down naturally. This doesn’t always happen. You should seek a way forward instead. There are several options you can explore. For example, you can remodify the loan, put in a request for forbearance, or make more money to suit the mortgage payment.

Even if you cannot go with any of the suggestions listed above, you can also choose to sell your home. In this case, it is advisable that you work with a trusted cash home buyer that will buy your home at its market price without attracting any hidden fee.

Consequences Of Dealing With Foreclosure

Going through a foreclosure is one of the most stressful experiences you will ever have. It also has devastating long-term consequences for you, your family, and your financial status.

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Eviction From Your Home

Being forced from your home is an emotionally challenging experience. You will most likely be dealing with the uncertainty of not knowing where you once you leave. You will lose all the memories or connections you have had while staying in the home.

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It May Damage Your Credit Score

Normally, you will lose anywhere from 85-160 points on your credit score right from the moment foreclosure first hits your report. This means if you had good credit before the foreclosure, the effect may be much more drastic than if you have an already low credit score. The downside of foreclosure is that it will stay on your credit report for 7 years.
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Inability to Get Another Mortgage

Once you have deal with a foreclosure in the past, it won’t be easy to get another mortgage. You will be unable to qualify for a new mortgage for the next 2 years after a foreclosure. Meanwhile, this can be much longer, as some lenders will refuse to work with you for at least 7 years.

And once you finally qualify for a mortgage, you should expect to pay more interest and fees than other buyers without any record of foreclosure. You will also be required to put a higher percentage towards your down payment.

Wrapping Up

If you are facing a foreclosure, the worst thing you can do is hope the issue will get resolved naturally. Instead, you should face the challenge and take the right step to get out of the mess. The best move, in this case, is to sell your home during the pre-foreclosure period. This means until the bank takes possession of your home or sold at auction.

When time is of the essence, the best way to sell your home is to work with a trusted real estate investment company to sell your home for cash. To get the right results, you should work with us at Quality Homes Reimagined, LLC. We are ready to close the sale within as little as 48 hours so you can settle your debt and have a clear head.

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