There are a lot of people whose only thought is "How can I save my house"? They bought a little more than they could afford hoping they would be able to grow into the payments. The banks facilitated this idea with adjustable rate mortgages. For a lot of young couples this was a way to enjoy their future dreams today. Who could have predicted a worldwide recession?Now many people are looking for loan modifications. They thought they would be safe when they took out the loan because if they ever got in trouble, they could always sell their home to avoid foreclosure. Along with a global recession, home values fell as much as 50% in some markets.
Actually the huge number of homes that have gone to foreclosure has helped people in this situation. Banks can't handle all the foreclosures and for the first time in history, are modifying home loans. This would have never happened in a normal market. The problem was so widespread that the government has allotted funds to help banks absorb the loss they incur when modifying a mortgage.
Then catch your breath. And with the immediate crisis at bay for at least a little while you can start asking the bigger questions, like: Do I want to keep my house" Do I want to hire an attorney? Which one: a bankruptcy attorney, or an attorney who specializes in loan modifications? These are all big questions that deserve careful thought.
This is a brief overview of how Chapter 13 bankruptcy may affect foreclosure proceedings. Every case is different, and certain factors may affect a debtor's ability to save his or her home. That is why you may find it helpful to consult with a professional. A lawyer who is experienced in handling Chapter 13 bankruptcy proceedings can offer insight as to how your home may be affected if you file. You can also get information about the particular advantages and disadvantages of Chapter 13, such as its ability to protect co-signers or its affects on your credit score. These are all issues that you may want to take into account before making a decision.
But how do I make sure I get this filed right so it stops the sale? You sure don't want to get this wrong, because if you screw up, they could take your house. How about those on-line filing services? You simply don't have time to determine if they will do it right. And what if they don't file on time? There is no substitute for walking into the bankruptcy court with documents that you know are correctly filled out, and handing them to the clerk yourself. You get a time stamped receipt and know you got the job done.
If foreclosure has already begun --meaning a sale date has been made-- you still have time to save your home. The first thing you need to do is contact your lender and find out what arrangements can still be made. Tell them your situation and how much you can afford. Remember that banks don't want to foreclose, they would rather make a deal with you to help you pay your mortgage. In some states you have until the home is sold to reclaim it, and in many states you have a redemption period even after, although once you reach the redemption period you will have all outstanding mortgage balances and attorney fees to pay.
By the way, by researching and comparing the best stop foreclosures services in the market, you will be able to determine the one that meet your specific financial situation, plus the cheaper and quicker options. However, it is advisable going with a trusted and reputable stop foreclosure specialist before making any decision, this way you will save time through specialized advise coming from a seasoned foreclosing advisor and money by getting better results in a shorter span of time. Meaning getting your house out of risk as soon as possible.Maybe you are one of the many many beleaguered homeowners in America, who, through no fault of their own, have fallen victim to the current economic situation and have run into financial difficulties.Maybe this has caused you to fall behind with your mortgage payments. Maybe you've received notice of foreclosure from your bank. Maybe you've received notice of foreclosure pending, or imminent foreclosure.
Here's the thing: none of those means you are in foreclosure.If you get a letter from your bank telling you you are in foreclosure, you are not in foreclosure.Even if you are six months behind with the mortgage and you've received four letters from the bank saying you are in foreclosure, you are not in foreclosure.This is important, so I'll repeat it. You are not in foreclosure because your bank says you are.Only one of two things can notify you officially of foreclosure.A Notice of Trustee Sale.A Notice of Sheriff's Sale.Once you receive either of those, you are officially in foreclosure. Your house will be auctioned, usually in about 90 days' time, depending on which state you live in.
This policy can be purchased from a high Street broker or is often now offered with your mortgage; but a cheaper method is to look for a standalone provider on the internet.However as with all insurance policies there is small print that you must be very aware of to ensure that this is the right policy for you. The first and most important is the "exclusion period". This is defined as from the start date of your policy and during this period you must not be made aware of impending unemployment. Providers vary with the length of this and as unemployment claims have soared so to have the Income protection exclusion periods. It is worth shopping around but the average is about 120 days.
Loan modification is often times an alternative to foreclosure and the recommended first step to short sale. Loan modification is the process of revisiting the original lender, explaining your current financial situation and simply asking for help. There are different options that the lender may suggest. One such option may be interest only payments for a period of time on the current loan where the principle is collected on the back end of the loan. Interest only modification is popular and cuts down the immediate monthly payment. A loan modification is intended to last a set amount of time and designed to change the monthly payment into an affordable rate.A trusted realtor that is experienced as a professional, certified negotiator and understands your situation can sometimes negotiate with your lending institution on your behalf. This agent should understand the entire short sale and loan modification process. Time is of the essence in these sensitive matters. You will literally be one step ahead of foreclosure. Be patient and let your real estate agent work for you.
Actually the huge number of homes that have gone to foreclosure has helped people in this situation. Banks can't handle all the foreclosures and for the first time in history, are modifying home loans. This would have never happened in a normal market. The problem was so widespread that the government has allotted funds to help banks absorb the loss they incur when modifying a mortgage.
Then catch your breath. And with the immediate crisis at bay for at least a little while you can start asking the bigger questions, like: Do I want to keep my house" Do I want to hire an attorney? Which one: a bankruptcy attorney, or an attorney who specializes in loan modifications? These are all big questions that deserve careful thought.
This is a brief overview of how Chapter 13 bankruptcy may affect foreclosure proceedings. Every case is different, and certain factors may affect a debtor's ability to save his or her home. That is why you may find it helpful to consult with a professional. A lawyer who is experienced in handling Chapter 13 bankruptcy proceedings can offer insight as to how your home may be affected if you file. You can also get information about the particular advantages and disadvantages of Chapter 13, such as its ability to protect co-signers or its affects on your credit score. These are all issues that you may want to take into account before making a decision.
But how do I make sure I get this filed right so it stops the sale? You sure don't want to get this wrong, because if you screw up, they could take your house. How about those on-line filing services? You simply don't have time to determine if they will do it right. And what if they don't file on time? There is no substitute for walking into the bankruptcy court with documents that you know are correctly filled out, and handing them to the clerk yourself. You get a time stamped receipt and know you got the job done.
If foreclosure has already begun --meaning a sale date has been made-- you still have time to save your home. The first thing you need to do is contact your lender and find out what arrangements can still be made. Tell them your situation and how much you can afford. Remember that banks don't want to foreclose, they would rather make a deal with you to help you pay your mortgage. In some states you have until the home is sold to reclaim it, and in many states you have a redemption period even after, although once you reach the redemption period you will have all outstanding mortgage balances and attorney fees to pay.
By the way, by researching and comparing the best stop foreclosures services in the market, you will be able to determine the one that meet your specific financial situation, plus the cheaper and quicker options. However, it is advisable going with a trusted and reputable stop foreclosure specialist before making any decision, this way you will save time through specialized advise coming from a seasoned foreclosing advisor and money by getting better results in a shorter span of time. Meaning getting your house out of risk as soon as possible.Maybe you are one of the many many beleaguered homeowners in America, who, through no fault of their own, have fallen victim to the current economic situation and have run into financial difficulties.Maybe this has caused you to fall behind with your mortgage payments. Maybe you've received notice of foreclosure from your bank. Maybe you've received notice of foreclosure pending, or imminent foreclosure.
Here's the thing: none of those means you are in foreclosure.If you get a letter from your bank telling you you are in foreclosure, you are not in foreclosure.Even if you are six months behind with the mortgage and you've received four letters from the bank saying you are in foreclosure, you are not in foreclosure.This is important, so I'll repeat it. You are not in foreclosure because your bank says you are.Only one of two things can notify you officially of foreclosure.A Notice of Trustee Sale.A Notice of Sheriff's Sale.Once you receive either of those, you are officially in foreclosure. Your house will be auctioned, usually in about 90 days' time, depending on which state you live in.
This policy can be purchased from a high Street broker or is often now offered with your mortgage; but a cheaper method is to look for a standalone provider on the internet.However as with all insurance policies there is small print that you must be very aware of to ensure that this is the right policy for you. The first and most important is the "exclusion period". This is defined as from the start date of your policy and during this period you must not be made aware of impending unemployment. Providers vary with the length of this and as unemployment claims have soared so to have the Income protection exclusion periods. It is worth shopping around but the average is about 120 days.
Loan modification is often times an alternative to foreclosure and the recommended first step to short sale. Loan modification is the process of revisiting the original lender, explaining your current financial situation and simply asking for help. There are different options that the lender may suggest. One such option may be interest only payments for a period of time on the current loan where the principle is collected on the back end of the loan. Interest only modification is popular and cuts down the immediate monthly payment. A loan modification is intended to last a set amount of time and designed to change the monthly payment into an affordable rate.A trusted realtor that is experienced as a professional, certified negotiator and understands your situation can sometimes negotiate with your lending institution on your behalf. This agent should understand the entire short sale and loan modification process. Time is of the essence in these sensitive matters. You will literally be one step ahead of foreclosure. Be patient and let your real estate agent work for you.
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