Missed mortgage payments do not take away your right to sell your home. Selling before a Notice of Default is recorded means no foreclosure timeline, no auction pressure, and the strongest possible negotiating position.
Whether you have equity or owe more than the home is worth, there is a clean exit — and in a short sale, the lender pays our commission.
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DRE #02016456 · Beverly & Company · SFR® Short Sales & Foreclosure Resource · ★★★★★ Zillow Rating · $60M+ in Closed Sales
A few missed payments put you in the lender’s loss-mitigation pipeline, not on the auction block. But interest, late fees, and legal costs compound quickly, and every month of waiting shrinks your equity and your options. The homeowners who come out ahead are the ones who act while they still control the timeline.
I’m Nick Hedberg, founder of We Sell Houses LA. Tell us where you are — one payment behind or six — and we’ll lay out reinstatement, sale, and short-sale numbers side by side. Free, confidential, no judgment.
Arrears, payoff, market value, net proceeds — we put real numbers on every option in one call.
If the payment is sustainable, reinstatement or a workout may fit. If not, selling with equity — or a lender-paid short sale — beats waiting for the NOD.
Selling before a Notice of Default is recorded means no foreclosure on the public record and maximum buyer confidence.
Foreclosure filings on your record when you sell before the NOD is recorded.
Out of pocket in a short sale — the lender pays our commission.
Is all it takes to get your reinstatement, payoff, and net-proceeds numbers — free and confidential.
Mid-divorce and newly out of work, Nicole and John had run out of money to finish the projects around the house — and the foreclosure auction was almost here when they reached us. We got the auction stopped and completed their short sale with PennyMac. They walked away with a lender-paid relocation fee and no foreclosure on their credit.
Antonio called us the night before his home was set to go to auction. He had lost his job twice and couldn’t catch up on payments — and his wife and two kids were living in the house. We got the foreclosure postponed, worked with Fannie Mae, and got his short sale approved. No foreclosure on his record, and his family moved forward on their own terms.
No. You own the home, and you can sell it at any point before a completed foreclosure sale. The loan — including missed payments, late fees, and costs — is simply paid off through escrow at closing, exactly like any other sale.
In California most lenders record a Notice of Default once you are three to four months delinquent — federal rules generally require waiting until a loan is over 120 days past due. That pre-NOD period is your strongest window: no recorded foreclosure, no auction clock, full control of the timeline.
Usually yes — lenders routinely pause escalation when a documented sale is underway, and telling them starts the loss-mitigation paper trail. We handle that communication for our clients so nothing said to the servicer hurts your negotiating position.
That’s a short sale, and it’s our specialty. The lender approves a market-value sale, California’s Code of Civil Procedure §580e ends the remaining debt on approved short sales of 1–4 unit homes, and the lender pays our commission. See the full short sale process.
The late payments already on your report stay, but selling prevents the far deeper, longer-lasting damage of a completed foreclosure — and stops new delinquencies from piling on. Most homeowners see their credit begin recovering within months of closing.
You still have time — typically 110+ days before an auction could occur, plus AB 2424 postponements once the home is listed. Start with our NOD 90-day plan or call us and we’ll map your exact dates.
More guides: Notice of Default plan · Sell a house in foreclosure · Short sale process · Short sale help
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