Pre-foreclosure: what is it?

Technically it’s the period of time after you fall behind on your mortgage payments and before a foreclosure officially starts. A pre-foreclosure sale is also referred to as a pre-foreclosure.
The loan provider can charge various fees during this pre-foreclosure time, such as late payment charges and inspection fees. Usually, they will send you information on how to avoid foreclosure and a breach notice, which is a preforeclosure notice.

Can You Sell a House in Pre-foreclosure?

Yes, you can! If you’re in the midst of preforeclosure, you do have the opportunity to sell your house up until the property is sold at auction in a Sheriff’s Sale by the mortgage company.
During preforeclosure, the homeowner can sell the property, refinance, still make all outstanding payments, negotiate a loan modification, or file bankruptcy.
Although you will be offered several options to avoid foreclosure, if you’re unable to repay the loan because you simply lack the income, a loan modification may not be much help. And filing bankruptcy will significantly affect your credit. If there is equity in your property, selling the home and moving on may be the best option for you to avoid foreclosure and repay the debt obligation.