Prevent or Delay Foreclosure

How Can I Delay a Foreclosure?

A foreclosure won’t go away if you ignore it. In fact, if you do not act quickly as soon as you know that you will have trouble making your house payments, or if you ignore the bank’s phone calls and letters, the lender may accelerate the foreclosure process. Even if you cannot prevent a foreclosure altogether, delaying the process can give you time to examine your options, formulate a plan, or save money to use toward alternative housing.

• Communicate with your lender. Even before you miss your first payment, call your lender and let them know about your difficulties. Especially with the current spike in foreclosures, it is in your bank or mortgage company’s best interest to keep you in your house. Together you can work with your lender to find a solution to your house payment issues. In addition, working with your lender will stall the process.
• Ask for a loan modification. There is no harm in trying to negotiate a loan modification with your lender – if you work out a deal, a loan modification can help you afford payments, and if you do not reach a loan modification deal, you negotiations will still delay foreclosure. Depending on the modification you agree on, these plans could lower your interest rate, lower your monthly payment, extend the term of your loan, or even forgive part of what is owed.
• File court delays. With the help of a foreclosure attorney, you may file any number of legal delays in the final stages of a foreclosure. You may challenge a lender in court, you may ask for a trial by jury (in some states), and you may file for an adjournment to delay the court date.
• File for bankruptcy. Although not the right choice for everyone, filing for bankruptcy will delay your foreclosure as a last resort – even if you do it a few days or hours before your foreclosure sale or auction date. A bankruptcy will freeze all of your bills, including your mortgage, but it may not be a viable long-term solution for all of those facing foreclosure.

How Can I Prevent A Foreclosure?

It is certainly easier to prevent a foreclosure altogether than to delay one. Making timely payments, avoiding adjustable interest rates, and buying a home that you can comfortably afford are all wise choices. However, if you are already struggling with high monthly payments, or if you are confronted with an unforeseeable event, there are still steps you can take to avoid a foreclosure. In addition to the loan modifications mentioned above, your options include:

• Getting forbearance. Forbearance is a payment plan agreement that allows you to make up past payments over a series of months while temporarily freezing current payments. This agreement will save your house and save your lender the high costs of foreclosure. This plan is not for those who will have continuing issues with affording their mortgage payment in the future.
• Sell your house. Selling your house either in a short sale or through a foreclosure investor can save you from foreclosure and save your credit. Keep in mind, however, that putting your house on the market in the traditional manner is risky – you only have a matter of months to complete a sale.
• Deed in lieu of foreclosure. In this strategy, you voluntarily give the house back to your lender and they accept the deal. A deed in lieu saves the lender money while also reserving the borrower’s credit. This strategy also saves everyone time – the borrower can move on with their lives instead of spending months in limbo.

                                                                                          Continued: How Foreclosure Lawyers Help -->

• If you are in the process of Foreclosure or maybe facing Foreclosure soon, Consult Your Case for Free with a local certified Foreclosure Attorney to see which legal options you have available.