The process of foreclosure moves quickly and you could find yourself on the street within days, if you don’t know how to fight the process. In some states, such as Texas, it can take only 27 days for a lender or the bank to repossess your house. Foreclosure is applicable on all types of loans including FHA, conventional and USDA home loans. If necessary steps aren’t taken, you can find yourself losing your home, if you have missed your loan payments . There are a few things you can do to help ensure you keep your home and hold off foreclosure.
Negotiating with your Lender The first thing to do when you fall behind on your loan payments, or are unable to further pay what is due, is to approach your lender. Try to negotiate on the terms of the loan and your payment. Assess your current financial situation and prepare a plan to manage your monthly payments. Modification in the loan If you are unable to make payments on your home loan, one of the ways to stop losing your house, is by persuading your lender to modify your loan. Contact your lender and find out if you are eligible for a loan modification that can make your payments manageable. You can find a suitable buyer, for instance, and work with your lender to modify the assumption/lease clause. You can get this clause deleted and allow another buyer to assume the loan. The down payment from this short sale can help you pay off your outstanding past due loan balance. Declaring BankruptcyIf nothing works out in your favor, declaring bankruptcy is one of the moves which will stop foreclosure. The federal law prohibits any mortgage lender to collect your loan payments, which will save your property from a foreclosure. Bankruptcy, however, just buys you more time to recover financially. You can workout some agreement with your lender, so that your house does not go on sale. ConclusionFollow the guidelines mentioned above to avoid losing your house. You can apply for another loan to refinance your existing one. If your house is in a rural area in Texas or nearby areas, you can find many trusted lending companies to find a loan officer to apply for a USDA home loan in Texas.
1 Comment
|
AuthorDarrick encourages readers to post issues that need immediate attention in terms of home buying; such interactions will enhance reader engagement and provide a road-map for others Archives
November 2017
Categories |