Homeowners Your Foreclosure Options Reviewed

Homeowners Your Foreclosure Options Reviewed



Homeowners: Your Foreclosure Options Reviewed
Are you a​ homeowner who is​ facing foreclosure? If so, you may be unsure as​ to​ what your options are .​
Now is​ the time to​ find out .​
Why? Because you may be surprised how many ways there are to​ avoid foreclosure .​
When foreclosure is​ avoided you can either retain your home, keep your credit in​ good standing, or​ do both.
When facing foreclosure, the first step you should take is​ to​ approach your bank .​
It is​ best if​ you do this before the issue of​ foreclosure arises .​
Once it​ does, it​ is​ still not too late to​ schedule a​ meeting with the chief loan officer at​ your bank .​
If you can prove that you intend to​ get your mortgage back in​ good standing or​ that your financial troubles are only temporary, your lender may hold off on foreclosure.
Even if​ your lender is​ willing to​ work with you, keeping your home may not be in​ your best interest .​
If you are having long-term financial hardships, it​ may be within your best interest to​ sell your home before it​ enters into foreclosure .​
When making this decision, you may want to​ talk to​ your lender .​
They may agree to​ allow you to​ proceed with a​ pre-foreclosure sale .​
In fact, they may hold off on the process of​ taking your home, giving you ample time to​ find a​ new buyer .​
When selling your home as​ a​ pre-foreclosure, your home can be listed as​ for sale by owner or​ through a​ professional realtor.
Even if​ you do not consider a​ pre-foreclosure sale to​ be an​ option, you should expect to​ hear from hopeful buyers .​
When you are delinquent on your mortgage, especially to​ the point of​ foreclosure, this information becomes public knowledge .​
Some buyers, namely professional investors, seek out those in​ trouble .​
Although having a​ stranger appear at​ your door or​ call offering to​ buy your home may be rude, it​ is​ a​ decision that you may want to​ give serious thought to.
Another option that you, as​ a​ homeowner, has during foreclosure to​ hire the services of​ an​ attorney .​
When doing so, see those with specialties in​ foreclosures or​ real estate .​
a​ lawyer can advise you on what steps to​ take .​
They can help you understand the pros and cons of​ pre-foreclosure sales .​
In some states, attorneys can use bankruptcy as​ a​ tactic to​ stop the foreclosure proceeding .​
Although not a​ long-term fix, it​ may buy you more time to​ make a​ decision .​
It is​ important to​ note that bankruptcy, by itself has a​ whole list of​ pros and cons.
Most states have what are known as​ redemption period laws .​
These are designed to​ protect homeowners .​
They give you a​ grace period to​ reclaim your home .​
If you can make good on your mortgage payment, the foreclosure proceedings will stop .​
States that have these laws often enable you to​ reclaim your property even after it​ has been sold at​ a​ foreclosure auction .​
This is​ provided that you act within the allotted time frame.
If you reside in​ a​ state where you are not given a​ grace period or​ a​ redemption period, you always have the option of​ buying your home again .​
Anyone can place a​ bid at​ a​ foreclosure auction .​
With that in​ mind, placing a​ bid and being the winning bidder are two different things .​
It often takes a​ significant amount of​ cash to​ reclaim your home .​
Your financial lender will also likely attend waiting to​ pounce .​
If the bids are not high enough, they will buy your home themselves .​
This is​ done to​ minimize their money lost .​
Later, your home will be available for sale as​ a​ REO (real estate owned) home.




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