Plain-English homeowner guide
Foreclosure Pressure and Want to Stay in Your Home?
Behind on your mortgage and want to stay in your house? Compare a sale-leaseback, home equity investment, and other options to access your equity.
If you're behind on mortgage payments and want to remain in your home, a sale-leaseback or home equity investment (HEI) may let you access some of your home's equity while continuing to live there, depending on your equity, state, and the buyer's or provider's written terms. These options don't erase what's owed to your lender, so it's important to also talk with your mortgage servicer and a HUD-approved housing counselor or attorney about your specific situation.
Most homeowners feel this pressure after missing one or more mortgage payments, receiving a notice of default, or getting calls from their loan servicer. The clock is ticking, and the stress of losing the house competes with the reality of needing money now.
There's no single fix for every situation. Your options depend on how much equity you have, what state you live in, how far behind you are, and what your lender is willing to work out. This article covers ways homeowners use their equity to address financial pressure — it is not legal advice about your mortgage or foreclosure timeline.
If you're already in default, contact your loan servicer and a HUD-approved housing counselor as a first step. They can explain deadlines and formal options tied directly to your loan.
Homeowners under financial pressure generally look at a few paths: selling for cash and moving, listing with an agent, or using home equity while staying in the property through a sale-leaseback or a home equity investment (HEI).
A cash sale or traditional listing means leaving the home once it sells. A sale-leaseback lets you sell the home and then rent it back from the new owner, so you can stay in the house as a tenant. A home equity investment (HEI) lets a company provide funds in exchange for a share of the home's future value, without taking ownership from you right away.
Each option has different requirements around your equity, credit, and timeline. None of them are guaranteed to stop a foreclosure process already underway — they are ways to access money from your home, which you can then use as part of your broader plan with your lender.
In a sale-leaseback, you sell your home to a buyer and sign a lease to stay in it as a tenant, paying rent instead of a mortgage payment. This can end mortgage payments on that home because the loan is paid off at closing, but you take on rent payments and lease terms instead.
Some sale-leaseback agreements include a separate, written option to purchase the home in the future. This is not automatic and is not included in every deal — it depends on the specific written agreement you sign with the buyer.
Because the home changes ownership, this route generally requires enough equity to cover payoff of your existing mortgage and any liens at closing.
A home equity investment (HEI) provides funds based on a share of your home's current and future value, without a monthly payment structure like a traditional loan. You continue owning and living in the home.
HEI providers evaluate your equity, the home's condition, and your state before offering terms. Approval and terms are decided by the HEI provider, not by Sold & Stay.
An HEI does not pay off your mortgage automatically — funds you receive can be used at your discretion, including toward mortgage arrears, but you're still responsible for keeping your existing mortgage current unless you use the funds for that purpose and confirm it works with your servicer.
None of these paths can promise to stop a scheduled foreclosure sale, negotiate directly with your lender on your behalf, or guarantee approval. Timing matters — the further along the foreclosure process, the fewer options may be available, since sales and closings take time to complete.
Sold & Stay is not a lender, broker, tax professional, or government agency, and does not buy homes. Any cash sale, sale-leaseback, or HEI is completed with a separate buyer or provider under their own written terms, which you should review with your own attorney before signing anything.
If your mortgage is already in active foreclosure proceedings, speak with your servicer and a housing counselor immediately about legal deadlines — that timeline runs independently of any equity option you're considering.
First, call your mortgage servicer and ask for a current payoff amount and any notice deadlines. Second, contact a HUD-approved housing counselor (free, nationwide) to understand your legal options and timeline. Third, compare your equity options — cash sale, listing, sale-leaseback, or HEI — based on whether you want to stay in the home or are open to moving.
Getting multiple written offers, whether for a sale-leaseback or an HEI, lets you compare actual terms side by side rather than guessing at what's possible.
Moving quickly matters, but so does reading the fine print. A rushed decision under pressure can cost more than the pressure itself.
If this guide matches the problem in front of you, put the payoff and decision date beside the cash need, monthly budget, and staying goal before making calls or sharing documents.
Then compare the next written step with one choice that keeps ownership and one choice that moves toward a sale. If neither one lowers the pressure without creating a new payment problem, pause before signing or sending private documents.
The written numbers should make the next choice easier: who owns the home, what payment continues, and what happens if staying does not fit.
A useful comparison has the payoff, deadline, monthly number, and backup housing plan in one place before anyone signs or applies.
Key details
- Foreclosure Pressure and Want to Stay in Your Home?
- homeowner options
Common questions
Can a sale-leaseback close before a scheduled foreclosure sale date?
It depends on timing and your lender's cooperation. A sale-leaseback can pay off your existing mortgage at closing, but the closing has to happen before any scheduled sale date, and your lender must agree to accept payoff by that date. Contact your servicer immediately to confirm deadlines and whether a sale can be completed in time.
Does a home equity investment (HEI) pay off my mortgage?
Not automatically. An HEI provides funds based on your home's equity, and you decide how to use them, including toward mortgage payments or arrears, but you remain responsible for your existing loan unless you specifically use funds to pay it off and confirm that with your servicer.
Will I definitely get an option to purchase my home after a sale-leaseback?
Only if your sale-leaseback agreement includes a separate, written option to purchase the home. This is not automatic and is not included in every agreement — it depends on the specific terms you negotiate and sign.
Is Sold & Stay a lender or the company buying my home?
No. Sold & Stay is not a lender, broker, tax professional, or government agency, and it does not buy or purchase homes. Any sale, sale-leaseback, or HEI is completed with a separate buyer or provider under their own written terms.
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