If you are going through hard times, like many other Americans these days, and are in danger of losing your home to foreclosure, you might feel like there isn't much you can do about it and maybe you have even given up any hope. Keep in mind that your financial troubles will eventually pass and you might find that a foreclosure on your record can make it difficult for you to take advantage of opportunities that might come your way:
A few years down the road you might want to purchase another home and you will have to disclose a previous foreclosure on any credit application. A foreclosure is the most devastating credit issue when it comes to future credit worthiness.
You might apply for a great job or working on a promotion from your current position. Many employers run credit checks on potential employees. A foreclosure on your record might be a road block to great income opportunities.
If you are looking to work in a government position, law enforcement or military, a foreclosure can severly jeapardize a required security clearance.
A foreclosure is the one item on your credit report that is pretty much impossible to "repair".
After foreclosing on you, your lender can and might seek a deficiency judgment against you and try to collect the amount they were not able to recover at the bank sale.
Last but not least, if you can avoid foreclosure you are helping your local real estate market and subsequently, your local economy. Every single foreclosure home aids and enforces the continued decline of values in your neighborhood. Increased foreclosures means increased depreciation of home values.
There are plenty of other options, alternatives to foreclosure such as deed-in-lieu, forbearance, re-instatement of loan, loan modification and of course, short sales.
If you need help assessing your situation to decide what's best for you in avoiding foreclosure and exploring the options you might have, give us a call!
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