An Introduction to the Process of Foreclosure
What greater achievement there is today for that average citizen than owning a home? But then again this great achievement often comes as a blessing in disguise to some people. The reason for this is attributed to the harsh economic times that have rocked the world in the past decade or so. With so many families living from paycheck to paycheck, it explains the rising cases of foreclosure. While you may have missed a couple of mortgage payments, it shouldn’t necessarily mean you should give up your home to foreclosure. You can learn how to stop foreclosure through the following tried and tested steps and measures.
Step one at your disposal could be to file for bankruptcy which can stop foreclosure, albeit temporarily. Of course, you should know by now filing for bankruptcy has its own serious legal ramifications and implications but it is always the best move. The beauty of bankruptcy is the fact that it instantly stops foreclosure the moment you file for it. Your lender can then appeal your bankruptcy and this process may take up to two months, which is advantageous to you as it buys you more time to put your act together. Most certainly you will have a great opportunity to hold talks and come up with a good and manageable repayment plan.
While at it, how about you pursue the next option of stopping foreclosure by seeking a modification of your existing mortgage loan? Most websites online will tell you that lenders hate the process of foreclosure and will often do all that is within their means to avoid it. This explains the reason why most lenders in the right mind will always have their options open when they want to accommodate the needs of their borrowers as long as they are willing to make some form of payment? The other viable solution to escaping foreclosure is to have a short sale for your home. How about you pursue this route in case all other options fail so you can avoid foreclosure all-together? A short sale will make so much sense if and when the value of your home is far much lower than the prevailing market value of the same. Before you list your house in the market, though, the lender has to approve the short sale. Last but not least, you can avoid foreclosure by signing the title deed back to the lender. While most lenders will not agree to this as it leaves them legally vulnerable should you seek to sue at a later date?