Behind on Your Mortgage? Options Before Foreclosure

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By Scott Shine

Scott Shine has been helping buyers find their dream home in one way or another most of his life. The son of Jean Shine, Scott was recruited periodically in his years growing up in the Fort Cavazos area to assist his mom with her rapidly growing real estate practice.

Too many homeowners who lose a house to foreclosure never put it on the market first. They fall behind, feel ashamed, and stop reaching out for help. Some of them had real equity in the home the whole time. If you’re behind on your mortgage, or you can see it coming, the most useful thing you can do right now is figure out which path still fits your situation.

We’re seeing this more often because the market has shifted. For a few years, a homeowner in trouble could sell almost instantly and move on. Today, values have softened, everyday costs keep climbing, and more good families are feeling it in their monthly payment. We recently worked with a homeowner who was already on a formal foreclosure notice with a hard deadline. She was certain she’d lost everything she had in that house. We sold it in time, and she walked away with tens of thousands of dollars she’d already written off.

If you have equity, sell first. This is the path that saved our client, and it fits more people than you’d think. Many owners who bought before the recent run-up owe less than their home would sell for today. Selling the normal way before the foreclosure is finalized lets you pay off the loan and keep what’s left.

Underwater owners can try a short sale. Owing more than the home is worth doesn’t automatically mean foreclosure. In a short sale, your lender agrees to accept less than the full balance so the home can sell. It can protect your future far better than a foreclosure would.

Veterans may have a compromise sale. If you’re a veteran, you may have another option. Homeowners with a VA-backed loan may qualify for a compromise sale, which works much like a short sale. It’s worth asking about before you assume the worst.

Waiting quietly closes the most doors. Foreclosure is a long process, and the mark it leaves on your credit can follow you for years. It can make renting or borrowing harder long after the house is gone. Most people have more time and more choices than they assume when they first fall behind. Hoping it resolves itself is the one path that almost never works out.

Asking for help isn’t a failure. We understand the fear and the embarrassment, and we’ve walked people through this with zero judgment. Good people hit hard stretches, and falling behind says nothing about who you are. If you’ve already talked to someone and didn’t like what you heard, a fresh set of eyes can still turn up a path nobody explored. Every situation is different, and this isn’t financial or legal advice, so your specifics will decide the right move.

We’d be honored to sit down with you confidentially and lay out exactly what’s possible.

If you’re anywhere in Central Texas and facing this, or you know someone who is, call or text us at (254) 690-4321, email us at Shine@shineteam.com, or visit shineteamblog.com.

Please reach out, or pass this along to someone who needs it. Let’s protect your future together.