subject: 5 Steps To Help You Stop A Foreclosure Fast [print this page] Have you been informed by your mortgage lender that your mortgage payment is overdue? You may only be 2 or 3 months behind, but your banker has threatened you with foreclosure. You aren't alone in this predicament. In today's recessionary economy, many householders are in the same boat.
It could have been a job loss or some other surprising setback that placed you in this position. Irrespective of the reason, it is possible to stop foreclosure fast, if you take the appropriate action.
You'll need to answer quickly once you have been informed by your lender that your payments are overdue. The earlier that you take steps to work with the lender, the more likely it is they will work with you.
There are a range of ways that you can stop foreclosure fast. In the case of a brief period of unemployment, or another hardship of a short lived nature, the most practical answer might be a forbearance agreement. This is a short-term plan whereby your bank agrees to accept a little of the back payments now, and then the balance over the following few months. This kind of arrangement doesn't work best for most borrowers, as the make-up payments are as well as their regular standard payments. However , if your income is high enough to deal with the extra burden for a few months, this is the fastest way to resolve the problem and get wrapped up.
Other possible paths to stop foreclosure fast include getting a short refinance loan, signing a deed in lieu of foreclosure, or arranging a alteration of mortgage, or loan alteration agreement.
A loan modification agreement seems to be the most suitable option for most owners who need to keep their home, as it usually leads to lower standard payments. This requires an enduring change in your mortgage terms whereby your bank either agrees to reduce the rate of interest on the loan, or they extend the total repayment period so that your standard payments are brought down to a more cost-effective level.
Thousands of owners all across the nation have obtained a loan alteration agreement. Fortunately , these owners have been given the opportunity to stay in their homes. Unfortunately, there's now a huge backlog of behind home loans in the hands of these mortgage lenders. The result is that they are unable to reply to your calls and letters within a fair time-frame.
Understandably, many distressed owners are frustrated in their attempts to negotiate a loan modification agreement. They often find that they're bounced around from one individual to another, talking to somebody different each time they call. The difficulty is that the majority of the people you talk to are reading from a script, informing you to send X dollars. They'd tell you to send a payment, and steer you to believe that everything is OK, but they don't basically have the authority to make an understanding with you. You will find that, after sending in the payment you were told to, the bank goes ahead with foreclosure proceedings anyway.
Best-case scenario is that you really talk to someone in authority and succeed in negotiating a loan alteration agreement. You then enter the next phase which could be a rather lengthy one. This will involve submitting all of the needed documentation, reviewing, notarizing and executing new personal loan documents, and then overseeing the transaction through escrow till closing.
With all these things under consideration , you might want to consider enlisting the aid of a loan alteration expert. These execs have experience in working with almost all of the mortgage corporations. They know who to contact with the authority to arrange an understanding. They have the necessary negotiating abilities to represent your interests, and often can save you thousands of dollars over the term of your loan.
There is the additional advantage of the peace of mind you will enjoy, knowing that all the important details of the transaction are being handled by a knowledgeable pro. The end result is they stop foreclosure fast.
