If you have been threatened with foreclosure or have received a letter in the mail that your mortgage lender intends to foreclose on your home, you may be unsure of what you can do. Fortunately, you do have some options available that may allow you to keep your home and get back on more solid financial footing.
Negotiate With Your Mortgage Lender
In many cases, you may be able to negotiate payments with your mortgage lender to get up to date, all the way up until your foreclosure is scheduled. This is by far the simplest way to stop your foreclosure. However, if you are far behind and don’t have the means to catch up, you may need to explore other options.
You may be able to sell your home before your home forecloses in a short sale agreement, saving your mortgage lender time and money. Legally, your lender must consider any offers to purchase the home in between the time that an NOD has been filed and an auction. If you have been given a Notice of Foreclosure, it may be in your best interest to aggressively seek a buyer before your lender auctions your home.
If you are having trouble making your mortgage payments, you may be having other financial difficulties as well. If you are overwhelmed with bills and are also facing foreclosure, you may want to explore the benefits that bankruptcy will have. First, bankruptcy will stop a foreclosure in its tracks. A bankruptcy petition — whether it is a Chapter 7 or a Chapter 13 bankruptcy — will prohibit debt collectors from taking further action against you. This includes sending letters and making phone calls in an attempt to collect a debt.
If you are able to catch up on your mortgage payments during this time, there’s a very good chance that you will get to keep your home. During the bankruptcy, your mortgage lender must work with you to create a reasonable payment plan based on your debt to income ratio and your living expenses.
Contact the Beecher & Conniff Law Office Today
If you have been threatened with the foreclosure of your home, don’t wait to take action. Contact an experienced attorney to help guide you through the steps needed to increase the chances that you will get to keep your home. Call the Beecher & Conniff Law Office today for a consultation at 253-627-0132.