A Guide On How To Stop Foreclosure In Baltimore, MD

In Maryland, there was a 65% increase in the number of default notices of the first quarter of 2023 since the first quarter of 2022. Now, there hasn’t been any new government document released about the matter but we can fairly say that foreclosure occurs dozens of times per month just in Baltimore alone. In the state of Maryland, there are hundreds of foreclosure notices given every month.

Now, all this is to say that if you’re facing foreclosure, you’re not alone. As Maryland homeowners face rising mortgage costs and economic challenges, many are searching for immediate solutions to stop foreclosure.

We’ve helped countless Maryland families stop foreclosure, and today, we’re sharing ways that can help save your home. Whether you’re in Baltimore (or  anywhere in Maryland), this guide can help you.

Check out our quick house sale guide to learn how to sell your house fast. 

By the way, if you ever get hit with a foreclosure because you didn’t stop it on time, we made a financial recovery planning guide. It’s going to be tough but you can definitely recover. 

With that said, here’s how to stop foreclosure.

Short Summary

• Maryland primarily uses a non-judicial foreclosure process, which happens outside of court. It’s faster than a judicial process but still has important steps and deadlines.
• The process includes a notice of intent to foreclose, a waiting period, filing the case, a possible hearing, notice of sale, the sale itself, and final ratification by the court.
• Lenders often prefer to avoid foreclosure. Contact them to discuss possibilities like: loan modification, mortgage forbearance, and mortgage repayment plans.
• Alternative solutions include a short sale, foreclosure mediation,selling your house, and bankruptcy. 
• There are government programs available in Maryland for foreclosure help.
• Cash buyers can close quickly and are less likely to fall through.

Falling Behind On Mortgage Payments? Maryland’s Foreclosure Process 

The possibility of the bank taking away your home in a few months is a tough situation to be in, that’s for sure. Falling behind on your mortgage payments can be incredibly stressful, and unfortunately, it’s something that many Maryland homeowners are facing right now. 

However, understanding the foreclosure process in Maryland can help you take control and explore your options.

Overview Of Maryland’s Non Judicial And Judicial Foreclosure System

After a few missed payments, foreclosure proceedings begin. Maryland sometimes uses a judicial foreclosure process, which means the lender must file a lawsuit in court to foreclose on your home. This provides some safeguards for homeowners and gives you opportunities to fight for your home or negotiate alternatives. 

However, most foreclosures are non-judicial. It still involves several key steps and timelines that homeowners need to be aware of. That’s what this guide will focus on from now on.

Timeline Of The Non Judicial Foreclosure Process In Maryland

Key Deadlines And Notice Requirements

• Notice of Intent to Foreclose: Must be sent at least 45 days before filing for foreclosure.
• Loss Mitigation Application: Submit as soon as possible after receiving the Notice of Intent to Foreclose.
• Answer to Foreclosure Complaint: File within 30 days of being served with the complaint.
• Mediation Request: Submit within 25 days of receiving the Final Loss Mitigation Affidavit.
• Notice of Sale: Must be published in a newspaper for three weeks and mailed to you at least 10 days before the sale.

Your Legal Rights As A Homeowner

As a homeowner in Maryland, you have legal rights throughout the foreclosure process. You have the right to receive proper notice, apply for loss mitigation options, participate in mediation, and potentially redeem your home after the sale.

 It’s crucial to understand these rights and seek legal advice if needed to protect your interests.

Role Of The Maryland Hope Counseling Network

The Maryland HOPE Counseling Network provides free and confidential counseling services to homeowners facing foreclosure. They can help you understand your options, negotiate with your lender, and develop a plan to avoid foreclosure. 

Don’t hesitate to reach out to them for support and guidance.

Contact Your Lender To Discuss Options

One of the most important steps you can take is to contact your lender as soon as you realize you’re falling behind on your mortgage payments. They may be willing to work with you to create a repayment plan, modify your loan, or explore other options to avoid foreclosure. 

Remember, lenders generally prefer to avoid foreclosure if possible.

Things You Can Consider To Stop Foreclosure In Maryland

Facing foreclosure? It’s not the end of the road. There are steps you can take to potentially save your home, even if it seems like time is running out. 

Exploring Options With Your Mortgage Company

Believe it or not, your lender often isn’t your enemy in this situation. They actually prefer to avoid foreclosure if possible. Reaching out to them as soon as you realize you’re struggling can open up several possibilities:

Loan Modification

A loan modification permanently changes the terms of your existing mortgage. This could involve reducing your interest rate, extending the loan term, or even forgiving a portion of your debt. This can make your monthly payments more manageable and help you get back on track.

Mortgage Forbearance

Forbearance provides temporary relief by allowing you to reduce or pause your mortgage payments for a set period. This can give you breathing room to get your finances in order, address a hardship, or find a new job. Just keep in mind that you’ll need to repay the missed amount eventually.

Mortgage Repayment Plan

 A repayment plan allows you to catch up on missed payments by adding a portion of the past-due amount to your regular monthly payments. This can be a good option if you’ve fallen behind temporarily but can now afford slightly higher payments.

Alternative Solutions

If working with your lender doesn’t fully solve the problem, there are other strategies you can consider:

A Short Sale Or Deed-In-Lieu Of Foreclosure

In a short sale, you sell your home for less than you owe on the mortgage, with the lender’s approval. A deed-in-lieu of foreclosure involves transferring ownership of your home to the lender to avoid the foreclosure process. Both options can negatively impact your credit, but they can be less damaging than a full foreclosure.

File For Mediation Through Maryland’s Foreclosure Mediation Program

 This program provides a platform for you and your lender to negotiate a solution with the help of a neutral mediator. It can help you explore options, reach an agreement, and potentially avoid foreclosure.

Seek Assistance From Maryland Emergency Mortgage Assistance Program

This program offers financial assistance to eligible homeowners having  trouble paying their mortgage payments due to a financial hardship. It can provide funds to help you catch up on missed payments or cover other housing-related expenses.

Consider Filing For Bankruptcy

Bankruptcy can be a complex process, but it can provide temporary relief from foreclosure and give you time to reorganize your finances. Chapter 13 bankruptcy, in particular, can help you create a repayment plan and potentially keep your home.

Our advice, get a competent bankruptcy attorney.

What About Selling Your Home To Stop Foreclosure?

If you’re having trouble paying your mortgage, consider selling it. It can save you from stress, wasted time, and energy. 

Benefits Of Working With Maryland Cash Buyers

• Speed: Cash buyers can close deals much faster than traditional buyers who rely on financing. This can be a lifesaver when you’re facing a foreclosure deadline.
• Certainty: Cash offers are generally more certain because they aren’t contingent on loan approvals or appraisals. This reduces the risk of the deal falling through at the last minute.
• Convenience: Cash buyers often purchase homes “as-is,” meaning you don’t have to worry about making repairs or staging your home. This can save you time, money, and stress.
• Flexibility: Cash buyers may be more flexible with closing dates and other terms, allowing you to tailor the sale to your specific needs.

How Fast Can You Sell In Maryland’s Market?

With a cash buyer, you could potentially sell your home in a matter of weeks, or even days, in some cases. This is significantly faster than the typical timeline for a traditional sale, which can take several months.

Preparing Your Home For A Quick Sale

Even though cash buyers often purchase homes as-is, it’s still a good idea to prepare your home for sale. This might include:

• Decluttering and cleaning: Create a clean and inviting space.
• Improving curb appeal: Make a good first impression.
• Addressing minor repairs: Fix any obvious issues.

Understanding The As-Is Sale Process

Selling “as-is” means the buyer accepts the property in its current condition, without requiring any repairs or improvements. This can be a huge advantage when you need to sell quickly and don’t have the time or resources for renovations.

Getting A Fair Market Value Assessment

While cash buyers may not offer the highest possible price, you should still aim for a fair market value assessment. Research recent comparable sales in your area or consult with a real estate professional to get an idea of what your home is worth.

Negotiating With Cash Buyers

Even though cash offers are often less negotiable than traditional offers, there’s still room for negotiation. Don’t be afraid to counteroffer or ask for concessions, especially if you have multiple cash offers.

Wrapping Up

Don’t let foreclosure catch you off guard in Maryland! Whether you choose to work with a cash buyer for a quick sale or explore government assistance programs, the key is taking action now. 

Our team of real estate experts is ready to provide you with a fair cash offer within 24 hours, helping you avoid foreclosure and move forward with confidence. Remember, every day counts when facing foreclosure.

Get Your Fair Cash Offer Today – Stop Foreclosure in Baltimore Within Days!