How to stop your home foreclosure

Something unfortunate, such as losing a job, occurrence of expensive medical costs, can happen, which causes us falling behind the our mortgage payments. If we don’t take immediate action, we may face home foreclosure and lose our homes.

If this happens to you, don’t feel embarrassed. Those things can happen to everyone. Don’t be panic and feel hopeless. There are several things you can do to stop home foreclosure.

The most important thing for you to do is to take actions. Most people facing foreclosures failed and lost their homes because they felt embarrassed to talk to the lenders, or because they felt hopeless and didn’t take necessary actions to stop the foreclosure. Some of them wanted to take actions, but, don’t know how.

Foreclosure is something that mortgage lenders don’t want to, but have to. If you take actions to work with your lender, you may be able to stop the foreclosure.

Before your home is put on the courthouse for auction, there are some options for you to stop the foreclosure. The time is against you and you only have a very short timeframe to do what you can. In some states, like in Georgia, you only have three months after your payments are behind. So you must act quickly! But, how?

Now, let’s talk about what actions you should take.

1. Call your lender once you are behind your payment to tell them your situation and show your willingness to bring it up to current if you could;

2. If your loan is a VA loan, or FHA loan, remember to ask the lender for FHA insurance and VA program for assistance;

3. Ask the lender what options you can take;

4. Evaluate your current financial situations to see your financial problem is temporary or longer-term.

5. Once you know your financial problem is temporary, you have at least three solutions for that, reinstatement, forbearance, and plan for repayment. For more information about the reinstatement and forbearance with your lender, please click here our free guide in PDF file.

6. If you know your financial problem is long-term, and you may not be able to earn enough money to make the payments, then there’re other options. You can just sale your home if your situation allows or you can ask the lender to do a short sale and  to forgive your debt.
 

For more information about short sale, please click here to subscribe our free short sale guide in PDF file. 

 

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