Jan
10
Avoiding Foreclosure?
ByI was laid off last summer and recently found a job. During my unemployment, I fell behind on my mortgage payments. My mortgage company now wants the past-due amount in full before they will consider a loan modification. I don’t have that kind of money, but I can make my regular payments. If I continue to make my regular payments, will this help me avoid foreclosure?
5 Comments
January 10th, 2010 at 3:54 pm
Call your lender and explain to them that you would like to continue to make your mortgage payments, but you have no lump sum to pay them at one time.
See if the lender would allow you to add the back payments to the end of the loan or make the back payments a 2nd mortgage and you would make monthly payments on your first and 2nd until the 2nd is brought current.
This might work for you. You need to speak to someone in the Loss Mitigation or Workout Department and get pass the receptionist.
I hope this has been of some use to you, good luck.
“FIGHT ON”
January 10th, 2010 at 7:29 pm
Regular payments won’t help, but this shouldn’t lead to foreclosure if you can afford to catch up. You need to go beyond the regular 800# customer service. Contact the loan department’s workout specialists. Normally they can find a way to tack on the missed payments into a catchup payment, or add it to the end. Also, there is some help from the government, although it can be hard to meet the criteria. See the HUD website (www.hud.gov) or call the Treasury hotline 1-888-995-HOPE — set up for people who may be eligible for foreclosure help.
One thing that might work in your favor is to call a local realtor and ask how many homes in your zipcode are listed as foreclosures. If it is a lot, use that to appeal to the person at your mortgage company. Tell them something like, “look, there are 15 foreclosures in my neighborhood, and 2 on my street alone. The average selling price for these is only $xx,000. If you foreclose on me, rather than work with me, then this house will join that pool, and there is no way you will end up with a good outcome. I’m willing to work with you so that we can both win here.”. It is better if you can find a way for this to be a win for them as well.
Good luck,
January 10th, 2010 at 10:19 pm
No. You’re in default. The bank has told you how to cure the default — by paying all back owed debt.
You have two options:
1. Pay back the debt and then continue to make payments timely.
2. Hold on to as much cash as you can, and find another place to live.
January 11th, 2010 at 12:47 am
Sounds like you may qualify for the Foreclosure Rescue plan just announced today, this tells more info:http://www.ehow.com/how_4825296_qualify-…
it also tells of the “Produce the Note” strategy which may help you as well
January 11th, 2010 at 4:26 am
you can hold off foreclosure with a chapter 13 that will give you up to 5 years to get everything paid off or current