Foreclosure Help: 5 Things to Try When Facing Foreclosure
According to some research, foreclosures on homes were up 67% in the third quarter compared to the last year.
Do you need foreclosure help? You’re definitely not the only one.
Thankfully, you came to the right place. Keep reading to find out what you can do.
Table of Contents
1. Ask for a Forbearance
First, you can ask for forbearance. This is basically a written agreement where you will send one large payment to the lender.
Every month after that, you’ll pay your normal payment plus another half of your mortgage. When you sign up for a forbearance plan, they last for about three to six months.
2. File for Bankruptcy
You can also file for bankruptcy. There are two types: Chapter 13 and Chapter 7.
Chapter 13 will help you keep your home, and it will just restructure your debts. You can pay them back over a three to a five-year payment plan. Doing this could help you avoid foreclosure.
You’ll have to pay a fraction of your debts over that period and try to eliminate other sources of debt during this time. Even if it doesn’t work, it should give you a few months to figure out another living situation.
If your home is already in foreclosure, you might want to file for Chapter 7 bankruptcy. This is a good way to save the home unless you want to modify the loan.
This will delay the proceedings so that you can start to save up money to find another place to stay, like a rental.
3. Modify Your Loan
You may also want to modify your loan. If you experience some kind of hardship, you can start making reduced payments. These are not catch-up payments.
However, there is a lot of paperwork and a lot of hoops to jump through, so you may not be successful in this approach.
4. Deed the Property
A deed in place of foreclosure is when you give the deed back to the investor.
That means you’re releasing yourself from all obligations under the mortgage. If you lose your house, it’s preferable to transfer it so that it doesn’t ruin your credit score and prevent you from buying another home.
5. Sell Your Home
If you still aren’t sure what to do, you can try and sell your home to avoid damages.
While this can be a tricky process, you can check out this link for more help: www.IBuySD.com. In some cases, you could sell your home for cash to help you buy your next place.
Find More Foreclosure Help
These are only a few tips for foreclosure help, but there is more help on how to avoid foreclosure.
We know that facing foreclosure can be very stressful and overwhelming, and it can make everything else in your life difficult.
Thankfully, we’re here to help you out. If you liked this article, explore our website to find even more great articles just like this one!
We know that facing foreclosure can be very stressful and overwhelming, and it can make everything else in your life difficult.
Thankfully, we’re here to help you out. If you liked this article, explore our website to find even more great articles just like this one!