If you are a struggling homeowner in Montgomery County, MD seeking ways to avoid foreclosure, there are options.
Loan Modification or Refinance
It’s in your loan servicer’s best interest to help you keep your home, so reach out to them and discuss your options. If you don’t qualify for a refinance, talk to them about getting a loan modification. This will not only reduce your mortgage payments, it will also put any outstanding balance on the back end of the loan. Just make sure that you fully understand the terms of your modification. Often times, lenders will do a “trial” modification, requiring certified funds for each monthly payment. Once you meet the qualifying period of time, you will then be able to pay using regular payment methods. However, any payment not received within 30 days of the due date could put you in breach of your modification agreement.
With home values on the rise due to low inventory and high buyer demand, you may be able to break even if you sell. If not, then you might want to consider a short sale. Short sales happen when the home is underwater – worth less than what is owed. However, the bank must approve your short sale, allowing you to sell for less than what is owed on the home. Homes involved in short sales are known as distressed properties, and are in very high demand at the present time. Again, it is very important to fully understand the terms of your short sale. Make sure that the bank will not try to collect the remaining debt (difference between what is owed and what the home sells for) after closing. Discuss the details of this process with a Montgomery County Realtor who is a CDPE – Certified Distressed Property Expert®.
A Certified Distressed Property Expert® has a thorough understanding of complex issues in today’s turbulent real estate industry and knowledge of foreclosure avoidance options available to homeowners. CDPEs can provide solutions, specifically short sales, for homeowners facing market hardships.
To learn more about foreclosure solutions, and to receive a free report about the Mortgage Debt Relief Act, contact Emcee Arah online or call 301.452.5252. As a real estate professional who has earned the Certified Distressed Property Expert (CDPE) designation, Emcee Arah has made it his mission to know the best possible options available to distressed homeowners for both their present and their future…and you can trust that your free consultation will be completely confidential.