If you forfeit your mortgage payment more than three times or your lender has filed a NOD, you may think that you cannot save your home. Even at this stage, you can stop the foreclosure process and save your home.
Foreclosure Workout. Up until the time your home is scheduled for auction, most lenders would rather work out a compromise that would allow you to get back on track with your mortgage than take your home in a foreclosure.
Loan modification allows you to refinance your mortgage loan or even extend the term of your loan. The lender may settle for monthly mortgage payments that are within your financial means.
In a short refinance, the lender may agree to forgive some part of your debt and refinance the remaining debt into an entirely new loan.
If your lender believes that you have a valid reason behind the missed payments, it may agree to help you out with a special forbearance.
In some cases, your lender does not agree to refinance your loan if they consider you a high-risk borrower. In such cases, you can contact a private lender to refinance your loan. However, these loans may come with astronomical fees, but it can save you time to stop the foreclosure.
You should not consider declaring bankruptcy as the first choice because it has its negative effects. When you file for bankruptcy, all lenders you have been given a stay on your loans, meaning they can’t collect until your bankruptcy case has been settled, but this stay doesn’t last forever. If your lender has started the foreclosure process, they cannot repossess your home until everything has been worked out.
For information on foreclosure defense call us at (877) 399 2995. We offer litigation document review support, mortgage audit reports, securitization audit reports, affidavit of expert witness notarized, and more.