Facing Foreclosure - Is it Time to Move Out?
It is a huge mistake to leave your mortgage long before you receive a notice of eviction. They are many strategies that you can use to put yourself in a better financial situation and redeem your mortgage. By moving out prematurely, you are not giving yourself the maximum chance to take advantage of opportunities which could help you start afresh. Read on to find out why is this case.
First, let me explain how a foreclosure works. After missing three months of your mortgage payment, the bank may start the foreclosure process. But this does not automatically mean the foreclosure is going to be permitted. Banks still have to go through plenty of legal avenues to prove their case.
Even if the foreclosure process pushes through to the auction, it is still not advisable for you to go. You still have every right to stay until the house is sold. Assuming that the house has been sold, is it time for you move out? That depends on what your state law implements. In states executing redemption period laws, homeowners are given a certain time to make a pay off and redeem mortgage. No one can evict you from the house until this period ends.
As you can see, you have plenty of time to repair your financial position during a foreclosure. Even if you can't come up with enough money to save the mortgage, you can still use this time to save money, pay off other debts or start anew. Moving out to soon would not give you, even the slightest opportunity to save your house.