A home is often a most valuable possession of a family. Buying a house is very stressful and when you finally got a mortgage on the home you want, you never think that you’ll ever loose it. But you never know. Few choose to remain without their houses voluntary. Yet, if you miss your mortgage payments, you may lose your home through foreclosure.
Foreclosure is a process by which a party (bank, mortgage lender, etc.) who has loaned money secured by a mortgage or deed of trust on real property or is the owner of an unpaid judgement forces the sale of the property to recover principle balance due, plus unpaid interest and all costs associated with the foreclosure after the debtor fails to remedy the default on the loan.
- Every three months, 250,000 new families enter into foreclosure;
- One child in every classroom in America is at risk of losing his/her home because their parents are unable to pay their mortgage;
- 1 out of every 200 homes will be foreclosed upon
It’s often an unpredictable result but you can always work it out and find the best solution. The U.S. Department of Housing & Urban Development (HUD) suggests the following tips to avoid foreclosure:
- Don’t ignore the problem – the longer you wait the harder it will be to resolve it
- Contact your lender as soon as possible
- Open and respond to all mail from your lender, it provides good information about foreclosure prevention options
- Contact a HUD-approved housing agency.
The Obama Administration has implemented a number of programs to assist homeowners who are at risk of foreclosure and otherwise struggling with their monthly mortgage payments. The majority of these programs are administered through the U.S. Treasury Department and HUD.
State foreclosure laws may vary from state to state so it would be advisable to consult a licensed Real Estate Attorney in your particular state. Knowing how to stop foreclosure proceedings may help you keep a roof over your head for a lot longer and even save your property. If you got in trouble and need any legal help, we are here to help you. Do NOT hesitate to contact us on Legal Bistro website and let qualified lawyers compete to handle your case!
To get much more detailed information and steps to preventing a real estate foreclosure and how to work out a plan with your lender, please watch our video: