Foreclosure in Pensacola. What Will it do to My Credit?

If you have a home in the Pensacola, FL area and you’re having trouble making the payments, you’ll want to find a way to change your situation. Getting a buyer for the home and getting out from under the mortgage can be a great way to do that. Then you can move to a place that costs a bit less, and get back on your feet. If you don’t make changes you could be facing foreclosure, and that’s devastating to your credit.

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Foreclosures are harder on credit than short sales, and they will remain on your report for up to 10 years. That can make it extremely difficult to buy another home, especially within the first four or five years after the foreclosure takes place. Most lenders won’t want to work with you, because they will see you as too much of a risk. That’s not a good thing, naturally, as you’ll have to rent – and you may even have trouble doing that due to your low credit score. Having bad credit can even get you turned down for a job.
To avoid the foreclosure hassle and the credit nightmare that often comes along with it, you’ll want to consider listing your property for sale. You don’t have to become part of the jumble of MLS real estate out there, though. You can join the ranks of homes for sale by owner, and look for an investor or company that buys properties for sale. You can ask them to value your house, and they will give you information on what the home is worth and what they would be willing to pay for it. Taking a cash deal can mean closing quickly, and that can help you avoid a foreclosure.
You’ll also save money that way, because you won’t need to pay a Pensacola, FL real estate agent commission on the sale. You’ll also generally save in closing costs, and you’ll be able to move from your home and get something less expensive fast. Letting a company buy your home that way can allow you to close the deal in days, not weeks, so you won’t have to spend more sleepless nights worrying about foreclosure or how you’re going to pay your bills. You can let go of all that stress, and also save your credit from any more damage.

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Having late payments on your home will bring your credit score down, but once you’ve sold the home your credit score will begin to come back up. Just make sure you pay all your bills on time going forward, and you’ll see the score rise until it’s back into a good range. A foreclosure, though, won’t allow your score to come back up as quickly. You’ll be stuck with a low credit score for years, and that can make life a lot harder than it would be otherwise. Fortunately, you can avoid that credit damage by selling the home instead of letting your lender foreclose on it.
Having property for sale can be stressful, especially when you need it to sell quickly. Facing foreclosure is emotionally draining and financially devastating, but there is always hope. By working with an investor or company that buys homes for cash, you may be able to get out from under your home and its mortgage, so you can keep a foreclosure off of your record. That means your credit won’t suffer the kind of hit you were worried about, and you can move on to rent or even purchase a home that fits into your budget more comfortably.
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