Category: foreclosure

A lot of people go through bank foreclosures these days. According to experts, more than 20 percent of Americans are in default of the mortgage payments and are candidates for bank foreclosure. If you happen to be one of those people who are on the verge of losing your home due to bank foreclosure, you should not give up easily and just let the bank take your property without exhausting all possible options to save your home. To help you save your home from bank foreclosure, here are some things that you can do.

Negotiate For Additional Grace Period

Banks are not really happy with the idea of foreclosing so many properties. Remember that banks are into the financial business not the real estate business. Since the bank has equity over your property, the bank party owns your home. Foreclosure of bank owned properties is therefore bad business for them. Banks want their clients to continue paying their amortization and as long as their clients are willing to pay their monthly amortization, banks are open to negotiations. If you want to prevent bank foreclosure, you should never ignore the collection letters from your bank. A lot of bank foreclosures happen after the client ignore a couple of collection letters from the bank. Instead of ignoring the collection letters sent to you by your bank, you should take the time to answer these letters and negotiate for additional grace period. You may also visit your bank and talk to the loans of officer personally. Tell the loans officer that you are willing to pay your obligations to stop bank foreclosure but you need a little time to get the money for this purpose.

When negotiating with your bank, you need to outline your plans on how you are going to pay for your financial obligations. You may also submit a financial plan to the bank. Your financial plan need not be complicated. All you need to do is to show the bank where you will get the money to pay for your monthly amortization.

Restructure Your Bank Loan

If you are having problems making you monthly amortization, you should ask your bank to restructure your loan to give you longer loan term. Yes, longer loan terms may prove to be more expensive for you in the long haul but when you are threatened with bank foreclosure, long term losses is the least of your concerns. What you need now is immediate solution to your problem. Longer loan terms will lower your monthly amortization cost and lower amortization cost will make things easier for you.

Foreclosure: How To Stop The Bank From Taking Away Your Home

It is very easy to lose your home in this time of financial crisis. A lot of people who have lost their jobs are unable to pay the monthly amortization on their homes which give left banks and financial institutions with no other choice but to foreclose these properties. Fortunately, there are ways of stopping foreclosure. If you are one of those people who are about to lose their homes, here are some simple ways for you to delay or stop bank foreclosure.

Sell Your Home For A Profit

Foreclosure is an ugly thing and you stand to lose a lot of things when your home gets foreclosed. To avoid foreclosure, you may need to sell your home. Selling your home may sound painful to you but when things really get rough, it is better to sell your home and earn some money out of the sale than let the bank foreclose your property. To get the most out of the sale of your home, find out how much is the current market value of your home. If you home is located in a prime location, its value may have increased considerably in the past few years.

To get a fair assessment of the market value of your home, interview some real estate agents. You may also hire the services of a professional broker to sell your home. The good thing about hiring a professional broker to sell your home is that you will no longer have to go to all the troubles of finding a buyer and then doing the paperwork once the buyer decides to buy your home. What’s the catch? The catch here is that you need to pay a commission to the broker after the sale of the home. However, considering the kind of service that you get from the broker, it is only fitting that you compensate your broker well. Remember that there is no such thing as free service these days.

Consider A Short Sale

The housing market is in a bad shape and many properties across the country are worth considerably less than their original price. If your property has been badly affected by the housing crisis, you may have to sell your home for a lesser price. Yes, a short sale is not very appealing but compared to foreclosure, a short sale is better. To stave off foreclosure and still be able to get a fair price on your property, you need to put your property up for sale as early as possible.