You Have Options When Facing Foreclosure

Are you a homeowner who is having difficulties in paying your mortgage?  Are you a homeowner who is concerned about your ability to pay your mortgage?  And...you feel that there is nothing you can do except leave the house and the keys with it.  Then keep reading because there are solutions that most people do not know. There are options when facing foreclosure:

Home Affordability Modification is a federal program offered to eligible home owners who are in distress.  The goal of this program is to modify your loan to make your mortgage payments 31% of your pre-taxed income.  This equation does not account for other expenses.

Forbearance Agreement is a temporary workout plan provided by the Lender to help homeowners bring their account current.  Payments can be postponed or payments can be less than the normal payment for a specific period of time.  This option will only solve your financial difficulties temporarily.

Subject-to is taking the title to a property and leaving the existing financing in place.  The mortgage stays in the name of the homeowner and the new buyer pays the mortgage.  This might not be the best option because the buyer may stop making the payments.

Short sale is when the Bank allows you to sell your house for less than the remaining balance left on the mortgage.  By completing a short sale, you can avoid eviction and foreclosure. And you can stay in the house until the property is sold.  You may even qualify for financial assistance under the HAFA  program.  

Chapter 13 Bankruptcy petition must be filed with the Bankruptcy Court.  By filing under this chapter, individuals may have an opportunity to keep their home from foreclosure and secure delinquent mortgage payments over time.  Please consult a bankruptcy attorney when considering this option.

Deed-In-Lieu-of-Foreclosure is when a home owner voluntarily gives the property to lender to prevent foreclosure because the homeowner can no longer make their mortgage payments.  This will NOT allow you to keep your property or stay in the house until it is sold.  The lender may or may not agree to forgive any deficiency balance that results from the sale of a property.  

Do Nothing and Lose Your Home is the quickest way to lose your home to foreclosure.  When you go through a foreclosure, you will have to deal with major penalties that will affect your credit, financial status and perhaps your employment.

If you are facing foreclosure, there is help.  Don't wait until you receive a notice.  If you want to avoid foreclosure, you should consider other options as soon as you become concerned about your ability to make your mortgage payments.

For more information or to receive a FREE kit, please visit my website at www.DeniseDimares.com.