It sounds possible to skip one mortgage payment. But three in a row is different, especially when the letters are piling up on the kitchen counter. Losing your home is a real fear, and if you’re reading this, chances are you’ve already moved beyond wondering whether foreclosure is coming and are asking instead: can anything actually stop it?
Yes, quite simply. Options abound that many homeowners don’t realize, and early awareness makes all the difference.
Are You at Risk of Foreclosure?
U.S. foreclosure filings in the first half of 2025 were up 5.8% from the same period in 2024, with 187,659 filings. It’s just an abstract number until that notice of default is on your counter. In 2024, Maryland ranked among the top ten states for foreclosure rates, with approximately one in every 322 housing units facing foreclosure (that’s a lot of neighbors in trouble).
What threatens a homeowner? The most obvious is missing mortgage payments, but a lender can also start the foreclosure process if you miss property tax payments, don’t maintain your homeowner’s insurance, or violate some other term buried in your mortgage loan. In some states, HOA liens can also lead to a separate foreclosure action that is independent of your mortgage lender (I’ve seen this blindside otherwise current borrowers).
The sad truth is that waiting to see if the problem will fix itself is the worst decision most distressed homeowners make. The longer you wait, the fewer options you’ll have. The homeowners who do the best are the ones who call the same week they miss a payment, not three months later when the servicer has already passed the file on to a different department.
When Can a Lender Start the Foreclosure Process?
Suppose a borrower misses a payment in January. The Consumer Financial Protection Bureau implemented rules that require a mortgage servicer to wait until a borrower is delinquent for more than 120 days before issuing the first notice or filing for foreclosure. This window is intended to give homeowners time to learn about workout options and apply for mortgage assistance, so you have roughly four months to get your paperwork in order and reach out to your servicer.
Those four months count. Use them. CFPB rules also require mortgage servicers to provide homeowners with written information about available loss mitigation options within 45 calendar days after a delinquency begins. So you should be getting info in the mail about your options well before anyone files anything in court, so you have a paper trail even if you’re too stressed to call anyone.
State law sets the timeline once that 120-day window closes and the lender files. Those properties that completed the full foreclosure process in Q4 2024 had been in the process for an average of 762 days, although there is a wide variation by state (some took twice as long).
How Can You Prevent Foreclosure Before It Starts?
Having a hard deadline changes your strategy completely. Pre-foreclosure is your highest-leverage opportunity.
Contact your servicer. Ask about forbearance, repayment plans, and a loan modification. A loan modification changes the terms of your mortgage loan and lowers your monthly payment to something you can actually afford. Forbearance allows you to stop making payments or make smaller payments for a short time, but the payments you skip are added to the end of the loan or paid back over a period of time (get the repayment schedule in writing). Both options involve costs, but they can help you avoid ever facing foreclosure.
Servicers like to modify, not foreclose. Foreclosure is also slow, costly, and uncertain for lenders.
One thing people don’t talk about much is that if you have a Federal Housing Administration (FHA) insured loan, your servicer has to consider retention options in a certain order before you can go into foreclosure. FHA loss mitigation programs are usually more forgiving than conventional loan workouts, so you have more breathing room than you think. Call your servicer directly and ask what type of loan you have.
What Is Loss Mitigation and How Does It Help?
Loss mitigation is any arrangement that your mortgage lender would consider as an alternative to a foreclosure sale. These include loan modifications, repayment plans, short sales, deeds instead of foreclosure, and forbearance agreements.
If you have previously applied for mortgage assistance and your application is complete, your mortgage servicer cannot initiate the foreclosure process while your application is being reviewed. This is not a courtesy; this is a federal rule. By filing that application early, you stop the legal clock.
The catch? The application must be complete. It can be denied before anyone even looks at it for missing documents or old income verification. If your complete application is received by your servicer at least 90 days before a scheduled foreclosure sale, you may also have the right to appeal if you’re denied a loan modification. The right of appeal disappears as the date of sale approaches, so it’s not just a good idea to submit early.
A HUD-approved housing counselor can help you get that application in correctly the first time, and it’s free.
Can You Stop a Foreclosure Once It Has Started?
So the notice of default has been filed. Is that all?
No. If you file a complete loss mitigation application, it will stop the servicer from moving for a judgment or scheduling a sale if you file it more than 37 days before any foreclosure auction, even after the first filing. Alternatively, you can make up all the arrears; in most states, you have the right to reinstate your mortgage loan by paying off all missed payments and fees before the sale date.
Another option is to sell the property, and it can be quicker than most homeowners anticipate. If you have equity in your home, a quick sale can pay off what you owe on your mortgage and stop the foreclosure sale in its tracks. That is the prime example of how a local buyer, such as CR of Maryland I LLC, can move in fast, close in days instead of weeks, and get cash in your hands before a lender finishes their process. No repairs, no commissions, no waiting on a buyer’s financing to fall through (I’ve seen that sink deals).
Can Bankruptcy Stop a Foreclosure?
If you go to Chapter 13, an automatic stay kicks in right away. This stops the foreclosure process while the bankruptcy court reviews your case. A repayment plan can then help you catch up on the arrears over the next three to five years while still making your regular mortgage payment. It’s not a magic fix, and it marks your credit. But given the right conditions, it stops the clock just long enough to be a factor.
A Chapter 7 bankruptcy also creates an automatic stay, but it usually just delays a foreclosure on your primary residence if you can’t restructure, rather than stopping it permanently. Talk to a bankruptcy attorney before you file. The U.S. Courts bankruptcy resource page has a good overview of what each chapter does. Sometimes, foreclosure defense attorneys are able to identify procedural mistakes in the lender’s filings that give them more leverage.
Can You Refinance or Sell Your Home to Avoid Foreclosure?
If you have missed payments, refinancing is pretty much out of the question. New mortgage products won’t include a delinquent loan. But selling is definitely still an option, and may be your cleanest exit depending on how much equity you have.
If you owe more than your home is worth, another option is a short sale. Your lender agrees to accept less than the whole mortgage amount from the sale proceeds. You’ll need lender approval, and it will ding your credit, but a successful short sale keeps a foreclosure judgment off your record. This is important when you are renting or buying again in a few years, as both landlords and mortgage underwriters pull your history.
A homeowner called with five weeks until a mandatory move date and a notice of foreclosure dated three weeks ago. The sale closed in eleven days. She paid off the mortgage and got her equity, and her credit file showed a paid off mortgage instead of a completed foreclosure (which matters years later). If you are in Maryland and need to move fast, this is how CR of Maryland I LLC works. No listing, no showings, no 60-day escrow wait.
Can You Be Sued for a Deficiency After Foreclosure?
A homeowner goes through foreclosure, loses the house, and thinks the debt is paid off. Six months later, a lawyer sent a suit for the difference between the sale price and what they still owed. That shortfall is known as a deficiency balance, and many states in the U.S. allow lenders to sue for it.
Maryland law does permit deficiency judgments after a foreclosure sale, thus making it all the more important to stop the process before it gets there. With a short sale or deed in lieu of foreclosure, there is usually a written agreement from the lender giving up the right to pursue you for a deficiency. But get it in writing before you sign anything. I have seen lenders quietly reserve that right in the fine print.
This space is also full of scams. If you get a call from someone claiming they can stop your foreclosure for an upfront fee, run. The Federal Trade Commission has a history of documenting foreclosure scammers, so there is a paper trail of the tactics they use. Any legitimate help from attorneys, HUD counselors, or buyers like CR of Maryland I LLC will not ask for payment before services are delivered.
Frequently Asked Questions
What Is the Fastest Way to Stop a Foreclosure?
The fastest way is to pay the full amount owed to reinstate the loan — all missed payments, interest, and fees — before the foreclosure sale date. If that’s not possible, filing a complete loss mitigation application buys you legal time, and selling your home quickly to a cash buyer can close fast enough to stop the sale and preserve your equity. Every option has a clock, so move before the date of the sale is set.
What Is the 120-day Rule for Foreclosure?
Federal regulations require that your mortgage servicer wait until you are 120 days late on payments before filing the first foreclosure notice. That four-month period is specifically designed to give you time to look into other options, apply for loss mitigation programs, or contact a HUD-approved counselor. Filing a full loss mitigation application before those 120 days gives you the most powerful legal protections available under CFPB rules.
Can I Stop a Foreclosure Once It Has Started?
Yes. You can prevent the lender from scheduling a sale if you submit a loss mitigation application more than 37 days before the auction date, after the foreclosure process has started. Alternatively, you can bring the loan up to date by paying all arrears. Selling your home can be the best way to get out of debt if you have equity in your home.
How Long Can a House Sit in Foreclosure?
It totally depends on the state. The national average for completed foreclosures in 2024 was about 762 days, but some judicial foreclosure states take much longer. Some Louisianians have had average timelines of nearly a decade. Non-judicial states like Texas and Wyoming go through the process in well under six months. Maryland uses a judicial process that generally takes longer than a nonjudicial state but is still faster than the national average. Use it all the time there is. Don’t expect it to last forever.
If you want to talk through options, we’re here. No pressure, no commitment. The team at CR of Maryland I LLC has helped homeowners at all stages of the foreclosure process, and sometimes just fifteen minutes of conversation can reveal a path forward you hadn’t considered.
