Key Partner 7 ways to save your home, or your equity.
You have more options than you might think, and the earlier you act, the more of them stay on the table. Below is an honest rundown of each one, whether you want to keep the home or move on.
Ways to catch up and stay
These are worked out with your lender. A free HUD-approved housing counselor can help you weigh them, and it's worth a call.
Pay off the past-due amount (reinstatement)
Reinstating means paying everything you're behind on, missed payments, late fees, and any legal costs, in one lump sum to bring the loan fully current. In Tennessee you can often reinstate right up until shortly before the trustee's sale, but the exact deadline depends on your loan and lender. Call your lender's servicer and ask for a written reinstatement quote so you know the precise figure and date. If you can pull the money together from savings, family, or selling another asset, this fully stops the foreclosure and leaves your loan intact.
Best if: You can access the funds and just need to catch up.
Loan modification
A modification permanently changes the terms of your existing loan to make the monthly payment more affordable. It doesn't always mean a lower interest rate. More often the lender extends your amortization, stretching the balance over a longer period, and rolls the past-due amount back into the loan. You apply through your lender's loss-mitigation department with proof of income and a hardship explanation. It can take several weeks, so start early, and know that stretching the loan out usually means paying more interest over time. A free HUD-approved housing counselor can help you apply and negotiate at no cost.
Best if: Your income has recovered enough to handle the payment going forward.
Partial claim (FHA loans only)
If your mortgage is an FHA loan, HUD offers a partial claim that advances the money to cover your past-due balance and records it as a separate, zero-interest lien on your home. You don't repay it monthly; it comes due only when you sell, refinance, or pay off the mortgage. That catches you up without a big lump sum and without changing your regular payment. Ask your lender whether your loan is FHA and whether you qualify, or check with a HUD counselor.
Best if: You have an FHA loan and can resume normal payments but can't cover the arrears at once.
Repayment plan or forbearance
A repayment plan spreads your past-due amount over the next several months, usually 3 to 12, by adding a bit to each regular payment until you're caught up. Forbearance is different: your lender temporarily lowers or pauses your payments while you get back on your feet, with the paused amount due later. Both need lender approval and usually a documented hardship. These fit a temporary setback, like a job loss or medical issue, that is now behind you.
Best if: Your hardship was temporary and your income is back on track.
Ways to sell and protect your equity
If keeping the home isn't the right move, these help you walk away with money in your pocket instead of losing it at auction. These are things we can help with directly.
List it with an agent
If you have equity and enough time before the auction, listing on the open market usually nets the most money. We're licensed Tennessee agents and can list it for you, or you can use any agent you trust. Keep in mind a traditional sale takes time, showings, an offer, the buyer's financing, and closing, and it comes with commissions and closing costs. It's the right move when the home is in decent shape and the calendar isn't tight.
Best if: You have equity, the home shows well, and there's time before the sale date.
Sell it for cash
If you want certainty and speed, we'll make a fair cash offer and can often close in as little as 7 days, before your sale date. No repairs, no cleaning, no agent commissions, and we cover the normal closing costs. Any loan payoff and liens come out of the proceeds at closing, and whatever equity is left is yours to keep. We base the offer on the home's condition and what comparable homes have actually sold for, then walk you through the numbers so they make sense. This is the fastest way to stop the auction and protect your equity when time is short.
Best if: You need speed and certainty, or the auction is close.
Creative financing
Even with little or no equity, there may still be a way out. Creative financing covers a few structures, such as taking over the payments on your existing loan or setting up a seller-financed sale, that can stop the foreclosure without you needing equity or a traditional buyer. These aren't right for every situation and they take an honest conversation to structure fairly, but they've helped plenty of homeowners who thought they were out of options. If the other paths don't fit, this one is worth a call.
Best if: You have little or no equity and the standard options don't work.
Free resources, no strings attached
Whether or not you ever call us, these free, official resources can help you understand your options and work with your lender. One important warning: real foreclosure counseling is always free, so never pay anyone who promises to "save" your home for an upfront fee.
Homeowner's HOPE Hotline
Free, confidential foreclosure-prevention counseling from HUD-approved counselors, 24 hours a day, 7 days a week.
Call (888) 995-4673 →Find a HUD-approved counselor
A free housing counselor can review your situation, explain your options, and help you talk to your lender.
Call (800) 569-4287 or find one online →Tennessee Housing Development Agency
Our state housing agency offers foreclosure-prevention help and HUD counseling for Tennessee homeowners.
Call (855) 890-8073 or visit thda.org →Consumer Financial Protection Bureau
Plain-English guides on foreclosure, your rights, and how to spot scams, plus a counselor finder.
Visit consumerfinance.gov →Legal Aid (if you can't afford a lawyer)
Free legal help for those who qualify. In Middle Tennessee, contact the Legal Aid Society of Middle Tennessee and the Cumberlands.
Visit las.org →Not sure which option is yours?
Call or text and I'll walk you through where you stand, no cost and no obligation. Even if selling to us isn't your best move, I'll tell you straight.
See what we'd pay →