In this world, bad things frequently happen to good people. Maybe you were in a car accident and suddenly unable to work. Maybe your company downsized and you were laid off. Whatever the reason, if you suddenly become unable to make your mortgage payments, you will find yourself in danger of foreclosure.
If you stop making mortgage payments, your lender can legally force a sale of your home for the purpose of recovering the amount of the loan they gave you. This could leave you and your family out on the streets, and could do irreparable harm to your credit, leaving you unable to get another loan in the future.
Most people will want to do anything they can to avoid a foreclosure on their home. Below we’ve detailed eight possible steps you can take if you are in danger of foreclosure to help get you protect your home and your family’s future.
1) Get organized and move quickly
This step is relatively simple, but essential. You need to get all of your loan documents in order and make sure you completely understand the foreclosure process, including how long you have before the lender forecloses on your home. Move quickly to take action and don’t allow the fear of a foreclosure to paralyze you.
2) Hire an experienced real estate attorney
An experienced real estate attorney like Ray Garcia can utilize his thorough knowledge of the law to help you figure out your options and present a strong defense against foreclosure. Give us a call to discuss what we can do to help you keep your home.
3) Modify, refinance, or get a forbearance on your loan
You may be able to refinance your loan with the lender so that your interest rate is lower and you have smaller monthly payments. This will probably only work if your loan is at or near the value of the home. You may also be able to negotiate with your lender to receive a loan modification such as adding your missed payments to the loan total so that you can stretch out your payments. Finally, you can ask for a forbearance of your loan payments if you know you will only be unable to make your payments for a temporary period of time. The lender will allow you to make no payments or fewer payments for an agreed-upon period of time, which may give you the opportunity to get out from underwater and start affording your normal loan payments again.
4) Try to make more money
Work an extra job or take up some independent work on the side. Do anything you can to make some extra cash each month in order to make your payments. It might be hard work, but it is well worth it to avoid a foreclosure.
5) Sell your home
If you know you will be unable to avoid foreclosure, move quickly to sell your home so that you can mitigate the long-term effects a foreclosure would have on things like your credit. You will have to find a new place to live, but it is still better than having a foreclosure on your record.
A foreclosure is a nightmare that no one wants to face. Ray Garcia is committed to defending your homeowner’s rights and taking any and all action to help you prevent a foreclosure on your home. If you are facing a foreclosure or in danger of facing a foreclosure, please give us a call to discuss how we can help.
Law Office of Ray Garcia, P.A.
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