| Home foreclosures have increased in the economic downturn and especially since the housing crash really started to take its toll in 2008. Currently the fear of losing a home has become one of the biggest worries in the United States. And for good reason.
It was recently reported that one in every 200 US homeowners is facing a foreclosure on their house and seeking foreclosure help. If you are feeling the threat of losing your home, it's time to take action. The most important first step is to face facts and own up to your problem. Trying to avoid it or hope that some miracle will happen to make it disappear will only make matters worse.
Make a clear decision in your mind to take action. The longer you put the problem off, the more difficult the situation becomes and worse off you are perceived by the lenders. If you've lost your job, or even if your job is in danger, you need to ask for help. The best establishment to get in contact with is the Housing and Urban Development (otherwise known as HUD). HUD will be able to guide you in the right direction when it comes to getting federal and state aid.
The government now has a bail out plan for foreclosure help which can delay the foreclosure process as much as possible. This basically buys you more time to restructure your finances and rebuild them as you go on. The first step in this plan involves managing your debt. With the help of a debt consolidation program or a debt counseling service, you'll need to come up with a plan which will reduce your debts.
You will also want to notify your lender. Lenders are often seen as the "bad guys" but keep in mind that they too do not want you to lose your home--if for nothing else, because they too will lose money. So, discuss your financial difficulties with your lender. Make an appointment if possible, rather than discussing everything on the phone.
Before your appointment, write down your information and the questions you need to ask. Try to be objective and calm as you are presenting your information. This might not be easy because you are speaking about an emotional subject, but it's important that all the facts are presented accurately and clearly. If you have a real estate attorney, bring him or her with you to the appointment.
Keep in mind that foreclosure laws don't only exist to protect the interests of the lender. They are also in place to protect you as the borrower. And your lender is really your best source for foreclosure help.
You may be surprised at how understanding and willing they are to help you with your financial problems.You can also seek out advice from a housing counselor if you and your lender are not able to come to terms. Housing counselors can give you some other options. |