Learning center

Before the sale: what to do now

If your sale hasn’t happened yet, this is the most important page on this site. Talk to a HUD-approved housing counselor — free, confidential, and required to act in your interest — through HUD’s online counselor directory. And contact your lender early: the sooner you call, the more options are usually available.

Facing a possible foreclosure sale is frightening, and it’s easy to freeze. But the weeks and months before a sale are when you have the most power to change the outcome. Everything below is about prevention — because keeping your home, or leaving on your own terms, is almost always better than going through a sale.

Step 1: Get free counseling

HUD-approved housing counselors are nonprofit professionals trained specifically for this. They can:

Review your budget and figure out what’s actually affordable.
Explain options like loan modification, forbearance, or a repayment plan — in plain language.
Talk to your lender with you, so you don’t have to face those calls alone.
Help you understand the timeline in your state, so nothing catches you by surprise.

It’s free. Visit HUD’s online counselor directory to find a counselor near you.

Step 2: Contact your lender — early

Lenders have entire departments (often called “loss mitigation”) whose job is to find alternatives to foreclosure. But they can only help if they hear from you. Calling early — at the first missed payment, not the fifth — keeps the most doors open. Bring your counselor into the conversation if you can.

Step 3: Know your state’s timeline

Every state runs foreclosure differently: different notices, different waiting periods, different sale procedures. Our state guides explain the basics so you know what each notice means and what comes next.

Step 4: Watch out for “rescue” offers

The moment foreclosure notices become public, a second wave arrives: companies offering to “save” your home for an upfront fee, asking you to sign over your deed, or telling you to stop talking to your lender. Many of these are scams. Read our scam warning signs before you sign or pay anything.

An honest note about surplus funds: yes, if a sale happens and the property sells for more than what’s owed, surplus funds may be held for you afterward. But a possible future surplus is never a reason to let a preventable sale go forward. Prevention first — always.

If the sale does happen

Sometimes, despite everyone’s best efforts, the sale goes ahead. That’s not a moral failure — it’s a financial event, and millions of people have been through it. When you’re ready, read what to do after a foreclosure sale, including how to check whether surplus funds may be held in your name.