Pre-Foreclosure

**Pre-foreclosure** is a term used to describe the period of time between when a homeowner misses a mortgage payment and when the lender starts the foreclosure process. During this time, the homeowner may be able to work with the lender to avoid foreclosure, such as by coming up with a payment plan or selling the home.

**What are the signs of pre-foreclosure?**

There are a few signs that a homeowner may be in pre-foreclosure. These include:

* Missing a mortgage payment or multiple payments
* Receiving a notice from the lender that the loan is in default
* Receiving a notice from the lender that the foreclosure process has started

**What can homeowners do to avoid pre-foreclosure?**

If you are facing financial difficulties and are worried about foreclosure, there are a few things you can do to try to avoid it. These include:

* Contact your lender as soon as possible to let them know about your situation.
* See if you can work out a payment plan with your lender.
* Consider selling your home if you can't afford to make the payments.

**What happens if a homeowner goes into foreclosure?**

If a homeowner goes into foreclosure, the lender will eventually take possession of the home and sell it at a foreclosure auction. The homeowner will still owe the lender the difference between the sale price and the amount of the loan.

**Can homeowners get their homes back after foreclosure?**

In some cases, homeowners may be able to get their homes back after foreclosure. This is called a "homestead redemption." However, the homeowner must act quickly, as the redemption period is usually only a few months.

**Pre-foreclosure is a serious situation, but there are steps homeowners can take to avoid it. If you are facing financial difficulties, contact your lender as soon as possible to discuss your options.**