If you’ve fallen behind on mortgage payments but are ready to pay back everything you owe, you may be ready to reinstate your mortgage.
Reinstating a mortgage means that you have enough money to fully pay back ALL the missed payments you owe and any additional late fees the bank has charged.
For non-judicial foreclosures in Washington, you can reinstate your loan until 11-days (including weekend days) before your foreclosure auction date.
So, if you are considering reinstatement, this is the most important deadline to be aware of.
Reinstatement can be tricky so make sure you understand all aspects of the process before sending money.
- You must reinstate 11-days (or more) before your foreclosure auction date: There is no guarantee that reinstatement funds will be accepted if you reinstate under the 11-day timeframe.
- You must reinstate the FULL amount as provided to you on your reinstatement quote: This number is the number that your foreclosure trustee or foreclosure attorney tells you (in writing!) is the “reinstatement amount.” This number comes on a reinstatement quote that you must request. This number includes all missed payments and any fees added. If you reinstate any amount LESS than this amount, the Trustee and lender is under no obligation to accept payment.
- Foreclosure postponements are NOT guaranteed: Postponing the foreclosure auction date to give you more time to reinstate the loan is NOT guaranteed in Washington so you should not rely on a foreclosure postponement to help you.
- There is no benefit in waiting to reinstate your mortgage: Waiting to reinstate (if you know you’re dead set on reinstating your mortgage) has no benefit – the longer you wait to reinstate your mortgage, the more fees you are incurring and the closer you are inching toward the 11-day deadline.
If you need help reinstating your mortgage or have questions about the reinstatement process, feel free to give me a call at (425) 654-1674.