Foreclosure McAllen TX: Commonly Asked Questions

Foreclosure McAllen TX: We often receive questions from our readers regarding the foreclosure process in McAllen TX. Subjects vary, but they are based on the foreclosure timeline and ways to save a house from foreclosure. Both topics have been discussed on this blog. This article summarizes the frequently asked questions regarding foreclosure activity in our city.

How Does the Foreclosure Law Impact Me?

Texas is a non-judicial state. That means the law does not protect you directly and the foreclosure process is quick. A non-judicial foreclosure case can be closed in 45-120 days. There is a not an option to redeem your property. However, there is no deficiency judgment clause available for the non-judicial foreclosure.

The absence of this clause protects you from the deficiency judgment and is especially helpful if your property is underwater. That means, the lender cannot file a lawsuit to cover the remaining loan amount after the sale of your house.

What are Some Ways to Stop Foreclosure?

It is essential to be aware of your situation and look for options. Discuss your case with a real estate solutions company, and you can find a helpful answer.

Bankruptcy, loan modification, reinstatement, forbearance and sale of a house are a few ways to prevent foreclosure. You might want to take a second loan to pay off the outstanding bills. In some cases, it is best to choose deed in lieu of foreclosure or short sale.

Individual cases vary. So please contact us here, and our team will communicate with you regarding the issues.

What is the Process of Getting a Loan Modification Application Approved?

Loan modification is a lengthy and time-consuming process. Every lending institution offers a modification program. However, the process is designed to help the bank. They either try to increase the loan payback time or the payments are suspended for some time. In rare cases, the bank agrees to forgive a portion of your debt.

It is best to hire an attorney to help you with the process. You can do it alone but understand that is a full-time job. Furthermore, in a non-judicial foreclosure, lenders are not obliged to inform you about their loan modification programs. They can accelerate your loan even if your application is being reviewed by the relevant department. Contact your bank to inquire about the programs.

You will receive relevant forms. Fill and return the forms. There will be a meeting with a financial counselor who will verify your information and then will guide you about your options.

Will I Lose My House After Getting the Default Notice?

Time is of the essence, but no, a default notice does not indicate that your house will end up in foreclosure. A default notice is the first legal letter you receive from the lender. It means that you are 60 days behind your payments. Immediately talk to your lender, and you can resolve the matter.

You have all the foreclosure prevention strategies available at this stage. Loan reinstatement and forbearance are the top 2 choices at this time.

I am Worried About Foreclosure: Where Can I Turn for Advice?

Contact Habitat Developers, a real estate solutions company in Texas. We are local experts. Our team has expertise in dealing with foreclosure and short sale transactions. Get in touch, and we will help you out. The consultation is available to you FREE Of Charge.

You can also contact an approved housing counselor. Here is the list of counseling agencies.