So now you are in foreclosure and you need help. There are many things you can do about your situation. So you got a letter in the mail from your Mortgage Company and you don’t know what to do. Well, you have come to the right site. Just because you are facing the foreclosure blues doesn’t mean that you just have to throw your hands up and give up. Sometimes in life we all have to deal with some hard times.
You still do have options available to you.
The main point that I will be discussing with you is trying to sell a home when you have little or no equity. If you are a few payments behind on your mortgage I want you to understand that you can do something about your situation.
Let say for example you owe your mortgage company 3 payments of $1200 dollars. Some of you would think that you would have to pay $3600 dollars right? Well if you are talking to someone in loss mitigation you can ask the loss mitigator for a loan modification or a work out.What the bank will do is either take one or two payments
to the end of the loan,or they will either add an amount to your normal payment,Or they may be able to make an adjustment to your interest rate.
This is what we call a workout or modification. If you are needing to know how to get started with this feel free to contact me. The other thing that I want to bring up is doing a short sale. A short sale is when the bank is willing to take less then what’s owed on the property. To give you a better idea how this works have you ever been late on something and it got sent to collections? When that debt collector calls you they are calling you to collect payment. Let’s say you owe them $300. The collector over the phone says we will settle your $300 card for $150. The creditors just took less then what you owed on this card. Well the mortgage company does the same thing they just call it a short sale.
They are taken less then what you owe. Why would a bank do this? Well it boils down to net profit. Sometimes its more profitable for your lien holder to do a short sale then to foreclose on the property.
What is the benefit for you? You don’t have a foreclosure showing up on your credit.(please note: just because you don’t have a foreclosure on your credit doesn’t mean your credit is still good.) You will have to still reestablish your credit. Do keep in mind that if you are in foreclosure right now and you are planning on selling your home make sure that you have a plan of action. Prepare yourself before the bank comes knocking at your door. Have a place to go…. Please do not wait until after the sale because the foreclosure is now on your credit and it makes it harder to get in a rental property. So make sure your are planning out your game plan. If you are in the Dallas Texas area feel you need help with foreclosure,feel free to contact me. I would be happy to help you with a work out plan or help you sell your home.
Remember if you need assist with buying or selling your home. Visit me at:www.sellorbuyhomefast.com