Think Foreclosure is your only option, well think again!
Regardless of what the source of your problem is waiting will not help the situation. Being proactive and seeking out any and all options is your only solution. You must act now to resolve the problem! The following options below may be alternatives to foreclosure depending upon your particular situation.
Short Sale
Considered to be one of the more favorable options when facing foreclosure or a financial hardship which will prevent you from staying in your home. In a short sale the lender agrees to accept less than what you owe on the property to satisfy the debt, by way of selling your home. Jenell will create an acceptable market value (BPO*) of your home that you agree with. Lenders tend to accept the terms of a short sale due to the fact that it greatly reduces the amount of money and time loss as oppose to a foreclosure.
Typically a short sale has less of a negative affect on your credit than a foreclosure does and is proving to be wise alternative. If you are in need of assistance with a please contact us and we will be more than happy to assist you. Keep in mind that we value your privacy and all information is kept confidential!
With this option the borrower agrees to and signs a deed that conveys all interest in the property to the lender to satisfy a loan that is in default and avoid foreclosure. The main advantage to this option is that it immediately reliefs the borrower from financial responsibility associated with the defaulted loan. Some lenders will not agree to a deed in lieu of foreclosure if the value of the house is less than the amount owed on the property. Other times a deed in lieu is a less costly process for the lender rather than foreclosure proceedings.
Forbearance
Your lender may be able to arrange a repayment plan based on your financial situation and may even provide for a temporary reduction or suspension of your payments. You may qualify for this if you have recently experienced a reduction in income or an increase in living expenses. You must furnish information to your lender to show that you would be able to meet the requirements of the new payment plan. Contact you lender for details regarding this option.
Loan Modification
You may be able to refinance the debt and/or extend the term of your mortgage loan. This may help you catch up by reducing the monthly payments to a more affordable level. You may qualify if you have recovered from a financial problem and can afford the new payment amount. Lenders have been encourage to work with homeowners who have every intent in staying in their homes and who qualify for a loan modification. Contact your lender to find out what the application requirements are.
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