If your home is at risk of foreclosure, the problem must be taken care of immediately and with the utmost care. By taking the proper steps, this situation can often be averted. If your home is at risk of foreclosure, a few things you can do to save your home include:
A mortgage modification is an option which allows a homeowner to renegotiate their mortgage. It allows a person or family to catch up on any arrearages or reduce your interest rate. Oftentimes, during successful mortgage modification, you are able to reduce your overall monthly mortgage payment or reduce the interest rate on your mortgage. We know that this can be a stressful and time-consuming process, so it’s important to have an experienced team walk you through the mortgage modification process.
2. Chapter 13 bankruptcy
Filing for chapter 13 bankruptcy will allow you to stop foreclosure immediately. It also allows you to force the bank to allow you to begin making your regular monthly mortgage payments. You’ll have a 36 to 60 month time frame to repay any arrearages that have accrued on your mortgage. The mortgage company must accept this arrangement.
3. Refinance or get a special forbearance granted on your mortgage
If you refinance your mortgage loan, you’ll have the entire new mortgage to allow you to continue to make payments. A forbearance is when a mortgage company allows you to temporarily suspend your mortgage payments for a specified period of time or pay your mortgage at a lower rate. These deferred payments will then be added to the end of your mortgage, allowing you to bring your mortgage current again.
It is important if you’ve fallen behind on your mortgage payments, you act quickly; every day you remain delinquent. The mortgage company continues to add fees, costs, and other expenses to your loan. Remaining delinquent on your loan will start to lower your credit score.
If you are ready to pay down your debt at a rate you can afford, while keeping your financial future intact, Chapter 13 bankruptcy may be right for you. We are ready to help you decide. Contact us today at 724-972-4180, chat or email to schedule an initial consultation. In bankruptcy cases, we provide free consultation.