| Do you know your options for fighting foreclosure? | | | | which means your foreclosure is stopped immediately. |
| Knowing these options can make all the difference | | | | Option 3 - Pre-Foreclosure Sale/Short Sale/Friendly |
| when making a life changing decision. Whether you | | | | Foreclosure |
| want to save your home or feel it would be better | | | | This option will allow you to avoid foreclosure by |
| to walk away, it will be the toughest choice you will | | | | selling your home for less than what is owed on your |
| ever have to make. When fighting foreclosure, one | | | | mortgage. To qualify, your loan must be at least 2 |
| option is to seek professional help but when you are | | | | months delinquent, appraisal of your home meets |
| unable to make mortgage payments, it is hard to find | | | | their guidelines and your debts outweigh your assets. |
| the money to pay for legal proceedings. You can do | | | | Option 4 - Partial Claim/For FHA Loans Only |
| it yourself through education and knowing your | | | | You may be able to work out with your lender a |
| fighting foreclosure options. | | | | one-time payment from the FHA Insurance Fund to |
| Option 1 - Forbearance | | | | bring your mortgage current. To qualify you must be |
| If you are just in the beginning stages of foreclosure | | | | at least 4 months delinquent but no more than 12 |
| or it has proceeded to an intermediate point, | | | | months and you are able to start making full |
| Forbearance may be an option for you. This term is | | | | mortgage payments. This claim filed by your lender |
| used for an agreement that allows you a temporary | | | | to the U.S. Department of Housing and Urban |
| break from making the mortgage payments. This | | | | Development will result in an interest free Promissory |
| works well if you are suffering from temporary | | | | Note which will be due when you pay off the first |
| financial crisis such as a job layoff. This option can | | | | mortgage or when you sell the property. |
| give you breathing space in order to get your life | | | | Option 5 - Deed-In-Lieu of Foreclosure |
| back on track. | | | | This involves voluntarily giving your home back to the |
| Option 2 - Loan Modification | | | | lender. Although this won't save your home or |
| A loan modification is an adjustment of an existing | | | | forgive the debt, it will not damage your credit as |
| mortgage that can include a lower interest rate, | | | | much as a foreclosure will. If you have done all you |
| longer term or reduction in principle balance. When | | | | can in fighting foreclosure and do not qualify for any |
| you are accepted for a loan modification, the new | | | | of the other options, this may be a choice that |
| note is considered current at the time it is created | | | | cannot be ignored. |