Prevent Foreclosures

Posts Tagged ‘Ways to Avoid Foreclosure’

Question: Need help on a good way to prevent foreclosure?

I have a friend who has lived in her current home for over four years and was sold a Power Option loan, but was told it was an Interest Only loan. They are pretty much backwards on their mortgage and in major credit card/ car loan debt. I just found out that they will be losing their home to foreclosure at the end of the month, and they will file bankruptcy.

Is there a way we can help to keep their home from foreclosing? Any help, or tips is wonderful!

Answer: Bankruptcy should be a last resort. There are many ways to stall foreclosures or even have them thrown out. For example... Simply filing the intent of filing bankruptcy will stall the foreclosure for at least 30-60 days if not more. There are many other things that can be done as well... too many to list here. Check out some books on how to prevent foreclosure.

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Question: Need to know how to prevent foreclosure?

I bought my house from an individual who agreed to hold the note I obtained both the title and the deed to the property. The original owner died a year ago and I have since made out the payments to the "Estate of.."

I lost my income and am diligently looking for work but as of tomorrow I will owe 3 months on my mortgage and the nephew [executor] has said he is going to foreclose.

What are my rights and options? Can I protect myself via bankruptcy? Can I sell? Need help on how to prevent foreclosure fast!

Answer: Contact the people below, they offer Free consultation on any foreclosure related issues. You can ask them about how to prevent foreclosure. They will go over the options you have. They have helped many save their homes.

Some of the important things that you could do to prevent foreclosure are: –

Know about ‘Loss Mitigation Process’ - ‘Loss mitigation Process’ was initiated by the government of America to help people get out of a Foreclosure situation. This clause has many options, such as -

Loan modification - Under this, the terms of the loan mortgage could be modified for the ease of homeowner and help him get out of foreclosure.

VA loan modification or refunding - Under this option, homeowners loan is bought by the VA (Veterans Affairs).

Short Payoff – this is another option where the lender may chose to buy the property from the borrower so that the latter is able to get out the foreclosure situation.

Deed-in-lieu – in this, those homeowners who need to sell their house in a foreclosure situation (and their property has been on the sale for 90 days), get a repayment plan. This is valid for those who are past due for two or more months in their payments.

Although it is not an attractive option to think about, filing for Chapter 13 bankruptcy can actually help you save your home and avoid foreclosure. Unlike filing Chapter 7 bankruptcy, with Chapter 13, you can set up a repayment plan that will allow you to pay missed mortgage payments over a long period of time such as three to five years. As soon as you file for bankruptcy protection, the lender has to stop the foreclosure process immediately until the bankruptcy case is heard in court. When the case is heard, you will work out a repayment plan that is acceptable for to the lender and you. Therefore, the lender will stop the foreclosure effort and you can keep staying in your home.

Avoid paying unsecured debts

The repayment plan will outline what you have to pay and when. If you have unsecured debts, you may end up paying very little towards them or pay nothing at all. That means, you will have money left to pay your missed mortgage payments.

Contest the foreclosure

Sometimes, you can contest the legality of the foreclosure on your home in the bankruptcy court. You can also contest any claims for costs and fees that are added to missed mortgage payments. A lot of the time, these costs are significantly reduced or eliminated when contested.

Get rid of other liens on your home

If you have a second mortgage lien or third mortgage liens on your home, you can usually get rid of them by filing bankruptcy. Most liens that are wholly unsecured can usually be dismissed.

Bear in mind, though, that filing for bankruptcy protection has lots of consequences so you should think carefully about your situation to make sure that it is what you want to do and what you need to do. If you need help or advice from a lawyer, you can use the service below to find one. The service is free and confidential.

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