Mortgage and Foreclosure FAQs
How will your credit be affected if you miss a mortgage payment?
Missing one mortgage payment can lower your credit score by as much as 100 points.
How will your credit be affected if your house is in foreclosure?
If your home is foreclosed upon, your credit score likely will be lowered by 175-300 points.
How many payments can you miss until your house is in foreclosure?
State laws vary in terms of the length of time and number of payments that can be missed before the lender can begin foreclosure proceedings. Click here for your state's specific time limits regarding foreclosure.
When do foreclosure proceedings begin?
Foreclosure proceedings begin when you stop making your monthly mortgage payments, and the lender begins proceedings to evict you from the home in order to sell the property.
Do you have any options other than foreclosure if you are unable to make your mortgage payments?
Yes, you do have several options other than foreclosure. They include, but are not limited to: forbearance, refinancing your mortgage at a lower interest rate, making interest-only payments, obtaining a home equity line of credit or applying for a balloon mortgage. You also may want to attend credit counseling.
What options do you have if your house is in foreclosure?