Life happens, and we can get behind on our home payments. Missing a payment or two isn’t great, but it’s not necessarily devastating. But if home payments get skipped long enough, you may be in danger of having your mobile home foreclosed or repossessed.
Mobile homes may be foreclosed or repossessed, but not both, it depends on whether your home classifies as personal property or real estate.
Is your mobile in a mobile home park or other location where you don’t own the land beneath it and it’s not secured to the land? Then it classifies as personal property and can be repossessed just like a vehicle. If your mobile home is on land you own and is secured to the land, it can be foreclosed on just like other real estate.
Repossession and Foreclosure of Manufactured Homes
In many ways, repossessing a mobile home is like repossessing an automobile. Of course, each state is different, and you should research the repossession regulations in your state. Since mobile homes are more difficult to move than a car or truck, most lenders will sell a repossessed
mobile home in its current location.
Repossession is much easier than foreclosure and can happen quite quickly. In some states, as soon as a loan is defaulted on, the repossession can take place in as little as two months.
Foreclosure is a process that allows the lender to take possession of your property and sell it. There are two types of foreclosure: a judicial and nonjudicial foreclosure.
An attorney for the lender will file a lawsuit. You will receive around 30 days, depending on the state, to file a response. If you do not file a response within the set date, or the court decides on the lender’s behalf, the court will grant foreclosure and determine a sale
Depending on what state you live in, an attorney for the lender will mail you a notice of default detailing how much time you have to get caught up on your payments. Or they may mail you a notice of sale that details when your property will be sold.
How to Stop a Repossession
You can prevent repossession of your mobile home by filing for bankruptcy. Your property will then fall under the protection of an automatic stay, meaning all repossession activity is halted. The court will then determine how much you owe on your home by looking at its value, how
much you owe on your loan, and how long you’ve been paying your loan. They will then come up with a reduced payment plan that will help you get caught up on your payments.
Keep in mind that filing for bankruptcy is a decision that should be given a lot of thought.
Consider if the long-term ramifications of filing for bankruptcy are worth it.
How to Stop a Foreclosure
The only way to stop a foreclosure is to come up with cash. Depending on the state you live in, there may be a redemption period for a foreclosed homeowner. After the foreclosure sale, the homeowner can reimburse the buyer for the full amount paid at the sale, or repay the lender the full amount of their debt. Again, not every state has this option, so review your state’s regulations.
Tip: Before you get to the point of fearing a foreclosure or repossession, talk with your lending company. Let them know what’s going on and why you won’t make your payments. Many lenders are willing to work with you. It helps to be forthcoming and transparent with your company before you start missing payments.
Stop The Foreclosure Process With EZ Mobile Home Buyer
Once you’ve been notified that you’re behind on payments and repossession or foreclosure is possible, contact EZ Mobile Home Buyer.
EZ Mobile Home Buyer will purchase your property before a repossession or foreclosure ruins your credit and limits you from purchasing another home for 3 to 5 years. They will pay off the debt, interest, and any fees. In some cases, you may even walk away with more money than before, giving you a chance to get back on your feet.