Behind on payments — before a Notice of Default
This is the widest the menu will ever be. Before an NOD is recorded, every option is still open and most of them keep you in the home. The order matters: call your servicer and a free counselor first, and treat a sale as one branch, not the trunk.
Call your servicer this week
Ask for the loss-mitigation department and request a forbearance, repayment plan, or modification review. Under California law the servicer must evaluate a complete application before recording a default. Write down the single point of contact's name.
Then a free HUD-approved counselor
They will help you assemble the application, understand what your loan type allows, and compare keeping the home against selling — at no charge. (800) 569-4287.
If selling is right
With no NOD yet, you have the most time and the cleanest title. A standard listing in most San Diego County cities goes pending in two to four weeks; a cash sale is available if a deadline is closer than that.
Free help first. A HUD-approved housing counselor reviews your options at no charge — (800) 569-4287. Where legal issues exist, consult an attorney (San Diego County Bar Lawyer Referral Service, (619) 231-8585 — VERIFY). This page does not guarantee any outcome; options "may be available" depending on your loan, equity, and servicer. Kiri is a licensed real estate broker, not a lender, attorney, or foreclosure consultant — for financing questions, speak with your lender.
The full menu — ten options
Reinstate the loan
Pay the past-due amount plus allowed fees to bring the loan current. In California you generally keep this right until five business days before a trustee sale. Often funded by savings, family, or a sale of another asset.
Often fits: A temporary hardship that has passed and the arrears are reachable.
Loan modification (through your servicer)
Your servicer may be able to change the loan terms — rate, term, or adding arrears to the balance. The Homeowner Bill of Rights requires them to review a complete application before proceeding to sale. A HUD-approved counselor can help you apply at no cost.
Often fits: Income has recovered enough to carry a modified payment.
Forbearance (through your servicer)
A temporary pause or reduction in payments, with the missed amount repaid or deferred later. Ask your servicer directly — terms vary by loan type and investor.
Often fits: A short, defined hardship (medical, job gap, disaster).
Refinance (with a lender of your choosing)
Replacing the loan may lower the payment or pull equity to cure arrears. Whether it is possible depends on your credit, equity, and the lender — this site does not offer financing; speak with your lender.
Often fits: Substantial equity and a credit profile a lender will work with.
Sell traditionally (list on the open market)
Even on a short timeline, a well-priced listing in San Diego County usually brings the highest net. With a Notice of Default recorded you generally still have 90+ days before any sale can be scheduled — enough to market properly.
Often fits: Equity, time to show, and a home that presents reasonably.
Sell fast / cash offer
A direct sale to an investor or cash buyer, often as-is, closing in days to a few weeks. Faster and simpler — and typically below market value. Always compare it to a listing net sheet before signing anything.
Often fits: Tight deadlines, heavy repairs, or a need to leave quickly.
Short sale
If you owe more than the home is worth, the lender may approve a sale for less than the balance. It takes lender cooperation and time; credit impact is usually less severe than a completed foreclosure. Tax consequences may apply — ask a CPA.
Often fits: Negative equity with a genuine, documented hardship.
Deed-in-lieu of foreclosure
Voluntarily transferring the home to the lender to avoid the auction. Lenders usually require a marketing attempt first; the credit impact is serious but often less than a foreclosure sale.
Often fits: No equity, no buyer, and a lender willing to accept it.
Bankruptcy consultation (with an attorney)
A Chapter 13 filing can stop a trustee sale and allow arrears to be repaid over time; Chapter 7 pauses it. This is an attorney conversation — not something to decide from a website.
Often fits: Multiple debts, or a sale date that is days away.
Do nothing
The home proceeds to trustee sale; any equity may be lost to fees and auction pricing, and the foreclosure stays on your credit for years. Every other option on this list is likely better than this one — including a single phone call to ask questions.
Often fits: No one — this is the outcome to avoid.
Your protections under California law. If your home has a Notice of Default recorded and someone offers to buy it, Civil Code §1695 (the Home Equity Sales Contract law) gives you specific rights — including a written contract in plain language, a five-business-day right to cancel, and a ban on unfair or unconscionable terms. Civil Code §2945 regulates "foreclosure consultants" who charge for help: they must give you a written contract and a three-day cancellation right, and may not take an interest in your home. Any cash offer or rescue service that rushes you past these rights is a red flag. VERIFY with attorney — summary only, not legal advice.
Free help: a HUD-approved housing counselor can review your options at no charge — call (800) 569-4287. Where legal questions exist, consult an attorney; the San Diego County Bar's Lawyer Referral Service is at (619) 231-8585 VERIFY. Kiri is a licensed real estate broker, not a lender, attorney, or foreclosure consultant; for financing questions, speak with your lender. This page does not guarantee any outcome.
The California foreclosure timeline
- 1
Notice of Default (NOD) recorded Day 0 of the statutory clock
Recorded with the San Diego County Recorder. You may reinstate by paying the past-due amount plus allowed fees — not the full balance.
- 2
Reinstatement period At least 90 days after the NOD
No sale can be scheduled during this window. This is the period to list, negotiate, pursue a modification, or consult a HUD-approved counselor.
- 3
Notice of Trustee's Sale (NTS) After the 90 days; sale set at least 20 days later (commonly ~21)
Posted, mailed, and published. The reinstatement right generally continues until 5 business days before the sale date.
- 4
Trustee sale (auction) NTS date + 20 or more days
Sold at public auction — in San Diego County typically on the steps at the East County Regional Center in El Cajon or by online trustee — or reverts to the lender. Postponements are common.
California nonjudicial foreclosure (Civil Code §§2924–2924l, Homeowner Bill of Rights). Timing is typical, not guaranteed; VERIFY with attorney. Full guide: the California foreclosure process.
Your protections
Homeowner Bill of Rights: single point of contact, no dual tracking, a loss-mitigation review before sale. Civil Code §1695: five-business-day cancellation on any sale to an equity purchaser after an NOD. Civil Code §2945: foreclosure consultants must give a written contract and a three-day cancellation right. VERIFY with attorney.