Vision: If a homeowner is foreclosed on, it has a devastating impact on the homeowner for the next five-to-ten years. Letting a house proceed into foreclosure is never a positive event. Homeowners must do whatever it takes to not let the home go to a public auction. Obtaining a loan: The foreclosure will remain on your credit report for the next five-to-ten years. A notice of foreclosure indicates to all creditors that a person is a high-risk for not paying back debts. The risk is so high, that majority of times it will cause a person not to be able to obtain any sort of loan.
- High interest rates: If a person is able to obtain a loan, the person will be paying the highest interest rates available. For the next five-to-years the person will be paying thousands and thousands to obtain any kind of loan.
- Background checks: Any time a person will be applying for a rental application the foreclosure will be evident. This can make it very hard to even rent a property and provide a family with a place to live. If a person with a foreclosure is approved for a rental agreement, they often will have to provide the landlord with an astronomically high down payment to secure their interests in the property.