Texas Foreclosure Prevention Guide

General information for organizing your next calls and comparing available options.

The Timeline Is Not a Fixed Day Count

Important: Federal rules generally restrict a servicer's first foreclosure notice or filing until a mortgage is more than 120 days delinquent, but exceptions exist. After a process begins, the time to a sale varies with the loan, notices, loss-mitigation activity, and applicable law.

After a missed payment

Contact the mortgage servicer, open every notice, and ask for its loss-mitigation application and deadlines.

Before a first filing

The federal 120-day rule applies generally, not universally. Do not calculate a sale date by adding 120 or 121 days.

When Texas notices arrive

Read the cure and sale notices with the loan documents. Texas notice periods are part of the process, not a universal total timeline.

If a sale is scheduled

Confirm the date directly with the servicer and county notice, then contact a HUD-approved counselor and a qualified attorney promptly.

Sources: Consumer Financial Protection Bureau and Texas Property Code §51.002.

Action Plan: Immediate Steps

Call your lender - Ask for the 'Loss Mitigation' department.

Gather financial documents (Pay stubs, bank statements, hardship letter).

Document your hardship in writing (Job loss, medical, divorce, etc).

Contact a HUD-approved counselor (1-800-569-4287).

Do not rely on TXHAF: TDHCA says the Texas Homeowner Assistance Program closed on April 15, 2025.

Your 4 Main Options

1Reinstatement

Pay the total missed amount including fees in one lump sum.

Best if: You had a temporary hardship and now have savings.

2Loan Modification

Negotiate lower monthly payments by extending the term or lowering rate.

Best if: You have steady income but fell behind.

3Forbearance

Temporarily pause payments. You MUST repay the missed amount later.

Best if: You have a short-term emergency (medical, job loss).

4Quick Cash Sale

Compare an as-is cash offer with the servicer, counseling, and listing options available to you.

Consider if: You do not plan to keep the home and understand the offer may be below a retail sale price.

Red Flags: Avoid These Scams

Anyone charging upfront fees while promising a guaranteed loan modification or foreclosure rescue.
Promises to 'eliminate your mortgage'.
Requests to sign your deed over 'temporarily'.
Advice to stop communicating with your lender.

Current Official Resources

Start here

Mortgage servicer: use the number on your statement and ask for loss mitigation.
HUD-approved housing counseling: find a counselor or call 1-800-569-4287.
Texas mortgage-scam guidance: Texas Attorney General.
TXHAF status: TDHCA confirms the program is closed.