Who wants to lose their home? I guess no one except maybe George Bush now that the White House is about to be occupied by some other guy from Illinois. After years of toil to realize the dream of living in one’s own home, it is my bet that one would do all practically possible to make sure they keep it.
But with markets globally going haywire, it is possible to be caught unawares and thus the need to be well prepared to deal with any eventuality. The financial downturn has left many people without much in their pockets with the financial institutions going under one after the other. Loosing homes thus has become a possibility and it is imperative you find a way to stop foreclosure.
Communication in any environment is very essential as parties involved understand one another and when disagreements arise; an amicable solution is promptly achieved. So in protecting your home, the very first step is to develop a cordial relationship with the lender. Sounds preposterous? I think not. When encountered with problems, it is always good to talk to your lender and the best move forward can be charted. This inhibits the chances of the lender acting rashly in case of delinquency on the part of the borrower.
There are several ways to stop foreclosure; one is through the lender and the borrower agreeing on a loan modification arrangement. This involves both parties agreeing to permanently alter parts of the terms of agreement to facilitate the affordability by the borrower to clear the repayments. You might also choose to enter into a forbearance agreement with the lender if your budgetary needs are stretched by some temporary financial problem.
It is also possible to refinance the property facing repossession. This is where you agree to settle the mortgage for a lesser amount, and then apply for a new loan altogether. This way you avoid losing your home and end up slicing off a considerable chunk of the amount you could have paid. There are other who would prefer letting the property be auctioned, and then repurchasing it. It is also a way of keeping your home and like they say, there are many ways to skin a cat.
You can also avoid losing your property by having a short sale. This entails selling it to a third party, and the lender taking the resultant funds as settlement. It is however prudent to ensure the full value is disclosed to you and avoid a deficiency no matter what. The other way is by agreeing to a repayment plan with the creditor. You pay a portion of the arrearage and agree to pay the outstanding in addition to the regular payment over a certain period.
These are just but a few ways of keeping your property. Always be alert and not to delay too much once a notice for impeding auction is served due to delinquency on your part. That way you will in good time be able to come with a way that perfectly works for you before the creditor comes knocking.