If you want to save your home and avoid foreclosure, there are three steps you need to start with:
1. Stay in contact with your lender(s) and don’t avoid their calls
Discuss a possible forbearance agreement or loan modification. You will also want to contact other lenders to see if you still qualify for a loan. (do this as soon as possible, before your credit gets worse) Don’t rely on a standard mortgage broker or bank, you will need to go to a specialist who has experience with your type of loan. We can help you find the right lender, simply fill out the form at the end of this post and we will put you in contact with the right lender. We will also assist you with a forbearance agreement or loan modification, but always ask your lender first. If they turn you down, then you may want to seek professional help or advice. Our services are always free, so don’t hesitate to ask.
2. Improve your financial situation
This is very important! You need to immediately take steps to improve your financial situation. Start spending less and find additional sources of income. You should also sell any items you have that can bring in extra money. Here is a link to 10 ways to save/earn money when facing foreclosure.
3. Use the legal system
Many people don’t realize that bankruptcy or chapter 13 is a legal repayment plan. The court basically forces your lender to accept a repayment plan that you can afford. This is a great way to get out of foreclosure and in many cases, the bankruptcy will actually improve your credit. We have discussed the downsides and shortcomings of bankruptcy in the past, but as long as you are working with an experienced attorney and one that has experience with foreclosure properties, you should be able to avoid all the bankruptcy pitfalls. We also offer a free bankruptcy evaluation with a local and knowledgeable attorney. There is no obligation and we strongly recommend speaking with them regardless of what you have heard in the past about bankruptcy or chapter 13. We have seen this method stop foreclosure for many families. They can also discuss the possibilities of other legal action against your lender. Click here to go to our free bankruptcy evaluation.
There are many options to consider when facing foreclosure and if you would like free help or advice, please complete our free foreclosure evaluation and you will be contacted immediately by a trained professional to help you through this difficult time.