We can help you save your home and your credit.
Homeowners who are facing foreclosure dread dealing with the facts that got them there. But there is hope! You’re not alone – thousands of other good people have found themselves in similar situations. Many foreclosures occur because homeowners wait too long to get help. But it may not be too late! Many times these proceedings can be halted and a favorable outcome can be reached. We can help you understand your options and negotiate with the lender. Banks and lending institutions do not want to foreclose, they rather resolve the matter if at all possible. We want to help you find the right solution to this problem and protect the equity you may have in your home. Here are a few options we could assist you with:
- Negotiate your existing mortgage We can help you negotiate with your lender. Many times they will provide options such as give you additional time to make up your payments, forgive a payment or change the terms of the loan, among others.
- Sell your home Perhaps selling your property is the best option for your situation. We will help you assess the way to go to best market the home and prepare it for a timely sale.
- Consider a Short Sale If your home is worth less than the amount you owe, you might be a candidate for a short sale. A short sale affects credit but it’s not as bad as a foreclosure. We will help you negotiate with your lender to find the solution that works best.
There are many other options available. Contact us to discuss your specific situation. It will be our pleasure to help you. In the meantime, consider these Dos and Don’ts of Foreclosure from FreddieMac.
Dos and Don’ts of Foreclosure
Facing a foreclosure is a scary thing, but there are things you should do – and shouldn’t do – to avoid making the situation worse.
- DO answer the phone and read your mail. Avoiding your lender won’t make the problem go away. In fact, it will only make the problem worse. Your lender may be able to help you, so be sure to answer the phone and read any mail they may have sent you.
- DO realistically assess your situation. Are your financial problems temporary? If you are temporarily out of work and will be fine once you find a new job, call your lender. Lenders may be able to offer a forbearance or repayment plan.
- DO consider your options. If you are not in a position to keep your home, consider selling it before you face a foreclosure. If you have already missed a mortgage payment, call your lender. There may be purchase options, like a short payoff or assumption that help avoid foreclosure.
- DO be aware of certain financial responsibilities. Even if your lender sells your property, you may still be responsible for the difference in the sale price and what you owe. It is also important to realize that you may be responsible for certain taxes when a lender forecloses on your property. However, the IRS does provide tax relief in certain situations.
- DO protect your wealth. Recognize that you may have significant equity in your property that must be preserved.
- DON’T move out of your home. In order to qualify for assistance, homeowners are often required to be living in their home. Be sure to talk to your lender before you think about moving.
- DON’T ignore the problem. It may be possible to keep your home, but if you wait to take action, fewer options will be available. You have certain rights and can take certain actions to help you keep your home; however, you only have a limited amount of time to assert those rights or take those actions.
- DON’T convince yourself you can afford a home if you can’t. Most lenders will only lend what a borrower can afford, but some less scrupulous lenders will allow borrowers to get in over their heads. In some cases, a home that was affordable becomes unaffordable due to changes in your life circumstances. If your mortgage is truly beyond your means, consider selling your home and purchasing a less expensive home or renting for a period of time before the only option left is foreclosure. Call your mortgage company; they may be able to help you avoid foreclosure by agreeing to an assumption or a short payoff.
- DON’T fall victim to a scheme. Some people want to profit by your misfortune by offering to contact and conduct all work-outs and negotiations with your lender on your behalf – for a fee.
The following groups are available to help at-risk homeowners:
- HUD at (800) 569-4287, (877) 483-1515, or http://www.hud.gov/offices/hsg/sfh/hcc/hccprof14.cfm
- HOPE NOW, a cooperative effort of HUD mortgage counselors and lenders to assist homeowners: (888) 995-HOPE or http://www.hopenow.com
- NeighborWorks America: https://www.neighborworks.org/
- Federal mortgage modification and refinancing programs: https://www.makinghomeaffordable.gov
- The Controller of the Currency’s consumer information site for banking-related questions: https://www.helpwithmybank.gov/
- OCC Customer Assistance Group: www.occ.gov/customer.htm
- Federal Trade Commission: www.ftc.gov/bcp/edu/pubs/consumer/homes/rea04.shtm
- Federal Reserve Board: www.federalreserve.gov
Contact us to discuss your options or send us a question. It will be our pleasure to help you!