If you’re in a one-income household and you’ve recently fallen behind on your mortgage payments, you might be feeling like you’re running out of options. Maybe the bills keep stacking up, the calls from the lender are getting more frequent, and you’re starting to lose sleep wondering how to keep your home.
You’re not alone — and there are steps you can take before it’s too late. Pre-foreclosure is an incredibly stressful situation, but it’s also a stage where you still have choices. The earlier you understand what’s happening and take action, the more likely you are to avoid the worst outcomes.
Here are five important things you should know if you’re in pre-foreclosure and supporting your household on a single income.
1. Pre-Foreclosure Is Not the Same as Foreclosure
It’s important to understand the difference. Pre-foreclosure is the stage after you’ve missed several mortgage payments and your lender has filed a notice of default or a lis pendens (depending on your state). This means they’ve started the legal process to take the property back, but you still own the home and have time to act.
Many families panic and think it’s already too late, but the truth is: you still have options during pre-foreclosure. Whether that means catching up on payments, working out a plan with your lender, or selling your home to avoid foreclosure, you can still take control of the outcome.
The key is to act before the foreclosure auction date is set. Once that’s on the calendar, your options narrow drastically.
2. Communication With Your Lender Is Critical
It may feel uncomfortable to call your mortgage company when you’re behind on payments — especially if you’ve already had a few tense conversations. But lenders would rather work with you than take your home. Foreclosures are costly for them, too.
If you explain your situation — especially if your financial hardship is tied to a job loss, reduced hours, medical expenses, or another one-time hardship — they may be willing to:
- Set up a repayment plan to catch up over time
- Offer a loan modification to lower your monthly payment
- Provide forbearance, temporarily reducing or pausing payments while you recover
When you’re on a single income, these adjustments can make the difference between keeping your home and losing it. The earlier you reach out, the more likely they are to help.
3. You May Be Able to Sell Before Foreclosure Hits Your Credit
If catching up on payments isn’t realistic, selling your home could protect your credit and give you a fresh start. Many homeowners in pre-foreclosure don’t realize they can still sell their property, even after the lender starts the process.
Selling before foreclosure can:
- Pay off your mortgage in full
- Stop the foreclosure process
- Prevent a foreclosure mark on your credit report (which can last up to seven years)
- Give you potential equity back if your home is worth more than you owe
If your home’s value has gone up, you might even walk away with money in your pocket — which can help you transition into more affordable housing.
4. A Short Sale Could Be an Option — Even if You Owe More Than the Home Is Worth
If your home is worth less than what you owe, you might qualify for a short sale. In this process, your lender agrees to let you sell the home for less than the mortgage balance. It’s not ideal, but it’s usually better for your credit and future housing opportunities than a foreclosure.
For one-income households, where catching up on missed payments is often unrealistic, a short sale can be a lifeline. It still takes lender approval, and the process can be tricky, but it can keep a foreclosure off your record.
Working with an experienced real estate professional who understands distressed property sales is key here. They can help negotiate with your lender and handle the paperwork, so you’re not navigating it alone.
5. You Don’t Have to Go Through This Alone — Local Investors Can Help
Pre-foreclosure is overwhelming — and when you’re balancing it with everyday life on a single income, the pressure can feel unbearable. You don’t have to face it alone.
Local real estate investors, like GRD Property Group, specialize in helping homeowners in tough situations. We can make a fair, all-cash offer for your home, often closing in as little as 7 days. That means:
- No waiting months for a buyer
- No repairs, cleaning, or showings
- No agent commissions
- No uncertainty about whether the deal will close
Sometimes, the fastest way to protect your finances and your peace of mind is to sell quickly, avoid foreclosure, and move forward on your terms.
Final Thoughts
If you’re in pre-foreclosure and living on a single income, your situation is challenging — but not hopeless. The most important thing you can do is take action now. Every day you wait, you lose potential options.
Whether you try to work things out with your lender, explore selling before the foreclosure process is complete, or accept a quick cash offer, you still have the power to decide how this chapter ends.
GRD Property Group is here to guide you through your options and help you find the best solution for your family.
Call us today at 214-635-2923 or click here to get a no-obligation cash offer:
👉 Sell Your Home – GRD Property Group
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