Save your home from Foreclosure!
When your home is at or near foreclosure you’re in a totally stressful situation, and most people don’t know what to do. They think their house is gone and there’s nothing they can do about it.
The truth is, you are not totally under the thumb of your Lender; you have options
Just stop for a while, cut off the panic attack and think. The first question you have to ask yourself is, “Do we want to stay in our home?”
If you don’t care to stay in your home, you still have options.
· Just start looking for a place to live. You may have quite a while to stay in your home and find that place to live. Some of the Lenders are not too swift in foreclosing. Even if they start the foreclosure process, you still probably have from 90 days to six months before they evict you. During that time you may even not be paying your mortgage. Start looking for a place to live.
· You can File Bankruptcy – While this option may of been very popular in the past new bankruptcy laws and restrictions make this once easy process very hard. Filing for bankruptcy may not relieve you of your obligation to repay your mortgage, foreclosures may still proceed, and it may damage your credit for the rest of your life Consult a competent bankruptcy attorney in your community
· You can see if you can do a Short Sale on your home. A short sale typically is executed to prevent a home foreclosure. A lender may choose to allow a short sale on your home if it believes that it will result in a smaller financial loss than foreclosing. It takes time to sell a home even at a bargain in such a defunct housing market. There are foreclosures on every block, housing prices are rock bottom, and selling a short sale is next to impossible. The entire time the home is on the market you are still responsible for your mortgage payment, taxes, and insurance. Can you truly afford this option?You can negotiate a Deed in Lieu of Foreclosure. That’s where you negotiate with you Lender to hand them over the Deed to your house, they foreclose and you’re all even.
If you do want to stay in your home, you still have an option; you can negotiate a Loan Modification. Loan modification has quickly become the best option for homeowners facing home foreclosure. Loan modification is an option that can save your home while putting you in a mortgage you can afford. The most common loan modification workouts are:
· Lowering the interest rate
· Reducing the principal balance
· Fixing’ adjustable interest rates,
· Forgiveness of payment defaults & Fees
· any combination of these
Who qualifies for a loan modification? You may qualify it you have:
· The inability to refinance due to high Loan To Value (LTV) or loss of equity
· The inability to refinance due to lack of positive credit or late mortgage payments
· A situation where your interest rate is currently adjusting or going to adjust
· A “Pick-A-Pay” or Minimum Payment Loan
· A financial hardship (job loss, pay reduction, medical bills, divorce, etc)
· An upcoming Foreclosure
There is even a loan modification for people who owe more on their mortgage than their home is worth!
A loan modification done by a properly licensed, professional, experienced loan modification negotiation firm may offer a more favorable loan modification agreement than your mortgage lender will offer you directly. They can often modify mortgage loan terms fast and effectively. Obtaining foreclosure help advice from an experienced loan modification negotiation firm will may even be able to preserve your credit. If you are already behind in your mortgage payments this may help stop the foreclosure process and help you avoid foreclosure.
A loan workout needs to work for both parties. Most lenders don’t want your home. They also want you to be able to afford you newly modified loan. That’s the only way it the best interest of both of you.
Check out our Loan Modification options here
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