If you’re reading this, you’re probably worried. Maybe you missed a mortgage payment. Maybe you’re about to. Maybe you’ve gotten letters from your bank that made your stomach drop.
Foreclosure is scary. It feels like the walls are closing in. But here’s what you need to know: you have options. And the earlier you act, the more options you have.
Foreclosure is what happens when you stop paying your mortgage and your lender decides to take back the house and sell it to recover what you owe them.
In New Jersey, it’s a court process, which means it takes a bit longer than in some states. But that’s actually good news for you—it gives you more time to act.
1.You miss payments – Usually after 3-4 months of missed payments, your lender sends a “Notice of Intent to Foreclose”
2.They file in court – If you don’t catch up, they file a foreclosure lawsuit
3.The court process – This can take several months
4.Sheriff’s sale – If you don’t resolve it, your house gets sold at auction
The whole process can take 6-12 months, depending on circumstances. That might sound like a lot of time, but it goes faster than you’d think.
•Your credit score gets destroyed – We’re talking a drop of 100-200 points or more. This affects everything: loans, credit cards, even job applications
•It stays on your record for 7 years – That’s seven years of higher interest rates, denied applications, and financial stress
•You might still owe money – If the house sells for less than you owe, you could be liable for the difference (called a “deficiency”)
•It’s public record – Everyone can see it. Employers, landlords, future lenders
If any of these sound familiar, it’s time to act:
•You’ve missed one or more mortgage payments
•You got a letter from your lender about a default
•You’re behind on property taxes
•You’re behind on homeowners insurance
•You got a notice of intent to foreclose
•You’re facing a job loss or significant income reduction
•You have medical bills piling up
•You’re getting calls from creditors
The key word here is “early.” The sooner you act, the more options you have. Don’t wait until the sheriff’s sale is scheduled.
Okay, so what can you actually do? Here are your real options:
This is where you work with your lender to change the terms of your loan to make your payments more affordable. They might lower your interest rate, extend the loan term, or add missed payments to the end of the loan.
The good news: If it works, you keep your house and your credit damage is limited.
The bad news: It can take months to get approved, and there’s no guarantee your lender will agree. Some banks make this process incredibly difficult.
Realistic timeline: 2-6 months
This is a temporary pause or reduction in your mortgage payments. You’re not forgiven the debt—you’re just getting a break for a specific period (usually 3-12 months).
The good news: It buys you time to get back on your feet financially.
The bad news: Eventually, those payments come due. You’ll need to either catch up, refinance, or come up with another solution.
Realistic timeline: Gives you 3-12 months of breathing room
If you have equity in your home and your credit isn’t completely destroyed, you might be able to refinance into a new loan with better terms.
The good news: Could lower your monthly payment significantly.
The bad news: Requires decent credit and equity. Might not be an option if you’re already in trouble.
Realistic timeline: 30-45 days if approved
Here’s the option people don’t always think about: just sell the house.
If you sell before the foreclosure is complete, you can pay off your mortgage and potentially walk away with money in your pocket (or at least avoid the foreclosure on your record).
The good news: You avoid foreclosure, you get out of a bad situation, and you can move forward.
The bad news: With a traditional sale, it takes 45-90 days. If foreclosure is imminent, you might not have that time.
This is where a cash buyer comes in.
If you’re facing foreclosure and time is running out, selling to a cash buyer like Holly Nance Group might be your best move.
Here’s why: We can close in 7 days. That means you can sell your house, pay off your mortgage, and avoid foreclosure before the sheriff’s sale even happens.
1.You contact us – Tell us your situation. We’re not here to judge; we’ve helped people in all kinds of tough spots
2.We evaluate your property – We know what we’re looking for and we work fast
3.You get an offer within 24 hours – A real cash offer, no games
4.You decide – If it works for you, great. If not, no pressure
5.We close fast – 7 days, sometimes faster
•Speed: You can stop foreclosure before it happens
•Certainty: No waiting for buyer financing or inspections to fall through
•Clean break: You get out of the situation and can move forward
•Credit protection: Avoiding foreclosure is way better for your credit than going through it
Here’s something people worry about: “What if my house is worth less than I owe?”
This is a real concern. If you owe $300,000 and your house is only worth $250,000, you’re “underwater.”
The good news: In New Jersey, if you sell the house (even to a cash buyer), you’re not responsible for the deficiency. The lender takes the loss. (This is different from some other states.)
However: If you go through foreclosure and the house sells at auction for less than you owe, you might be liable for the deficiency. Another reason to sell before foreclosure happens.
If you’re in this situation, you’re not alone. There are resources available:
HUD-Approved Housing Counselors – Free advice from the U.S. Department of Housing and Urban Development. They can help you understand your options and work with your lender.
New Jersey Housing and Mortgage Finance Agency (NJHMFA) – Offers programs to help homeowners at risk of foreclosure.
Legal Services of New Jersey – Free legal help if you qualify based on income.
Your Lender’s Loss Mitigation Department – Call your mortgage company and ask about options. They’d rather work with you than foreclose.
If you’re facing foreclosure, the worst thing you can do is nothing. The longer you wait, the fewer options you have.
Here’s what to do today:
1.Call your lender – Ask about loan modification or forbearance options
2.Get free counseling – Contact a HUD-approved housing counselor
3.Explore selling – If you want to avoid foreclosure completely, selling might be your best option
4.Talk to us – If you need to sell fast, we can help. Get a free cash offer and see if it makes sense for your situation
You don’t have to go through foreclosure. You have options. And the sooner you act, the better those options are.
If you’re facing foreclosure in New Jersey and need to sell fast, contact Holly Nance Group today. We’ve helped people in your exact situation. Let’s talk about your options—no judgment, no pressure, just real help.
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