Ways to stop foreclosure immediately

If you have fallen behind of your mortgage payments and you are facing foreclosure, you are not alone. Most homeowners have faced foreclosure in recent years. Homeowners can use different ways to stop foreclosure and keep their homes.

When you are faced with foreclosure, educate yourself on what is happening. Understand how the foreclosures are handled in your state. Some states are judicial, while others are non-judicial states. Getting to know the states you live in will help you know how much time you have to get a solution

Get in touch with your lender as soon as possible. The truth of the matter is that foreclosure is costly and time-consuming not only for homeowners but also lenders. Lenders would rather work a way out rather than repossessing the house. Working together with your lender would go a long way to getting you to steady ground. In this case, the lender may offer you one of the following:

In this case, the lender will change the terms of your existing loan- amount due interest rate, length-to manage the monthly payment.

This is where the lender offers a new loan with new rates and terms to cover the missed payments and the remaining part of the mortgage.

You can talk to your lender and devise a plan that works with your budget. You can then restart making the payments.

where the lender agrees to temporarily suspend your mortgage payments for a period of time.

Filing for bankruptcy may hurt your credit but it is a good solution towards foreclosure. The moment you file for bankruptcy; an automatic stay is imposed on your assets which halts the foreclosure process.

If you know the situation is going to be bad; you can apply for a short sale with your lender instead of waiting for foreclosure. But this strategy only works for homeowners who owe more than their property is worth.