If you are thinking that I’m behind in my mortgage payments on your Lexington home, then you may be feeling the heavy weight of the mortgage debt.
Can you make your monthly mortgage payment now? Do you feel that you could never make up the payments that you missed?
You may be able to avoid foreclosure in Lexington and keep your home. We talk to people everyday who are behind in their mortgage payments. Yes, people here in Lexington have gone through foreclosure, but the following article describes ways you can avoid foreclosure.
Are You Behind In My Mortgage Payments ?
The following are things that you can do to stop foreclosure or at least avoid foreclosure now. Consider each one and see if they’ll help you in your specific situation.
This is usually the tool of last resort. If you’re being crushed by lots of debt, bankruptcy can be a good way to negotiate with lots of lenders at once. It’s a lot of work, and it won’t help you avoid your mortgage. Different lenders will treat your circumstances in unique ways. You’d benefit from serious professional help – the best you can afford.
This can be a good card to play, but it may come with some unseen penalties. Basically, reaffirming the loan is an additional commitment to pay. In some states where it’s allowed, an affirmation can create additional liabilities if your property is auctioned.
3. Making Home Affordable (MHA):
MHA is a government program. So a lot of paperwork will be required. That’s normal. Getting help from the government requires a lot of patience and work.
If your mortgage qualifies, you might be able to participate in MHA. Any loans backed by Fannie Mae or Freddie Mac must be considered for MHA, and other lenders choose to participate in MHA.
With MHA, your payments and/or interest rates might be lowered – even the principal balance (if your home is worth less than you owe). If you’re unemployed, you might be able to get your payments temporarily suspended or reduced.
4. Negotiate with your bank:
Negotiating with your bank can also be a lot of work. You’ll have to explain your situation to many people before the entire process is over.
Lots of lenders routinely offer some level of assistance. You have to work hard at it, but you might be able to get your interest rate reduced, or a temporary reduction in your payment.
Most of the time, lenders will want to steer you to refinance your loan – but by the time you’re a few payments behind, you probably don’t qualify for a reduction in interest rate.
You have to work really hard to negotiate with a bank. Usually it takes lots of calls and the patience of a saint to get through the bureaucracy. Never, ever act rude. Ask for help from everyone you speak with, but don’t sound desperate. Explain your situation, offer supporting documents, and reassure the bank that you want to live in your home for the long term.
If you’re in need of a temporary fix and want to stay in your home, most banks can be forgiving. Sometimes they’ll be willing to add a few months of payments back onto the primary balance of your loan. It’s all dollars and cents to them, so remind them that you need their help to give them a lot more money in the long run. If they have to sell your house at a foreclosure auction, they’ll take a huge loss.
That sounds obvious, but for some reason bankers seem to forget it when saying no to someone in need of help.
5. Borrow money from a private investor:
If your mortgage payments are in arrears, and you need to sell fast, we can probably help.
We work with homeowners in Lexington to find solutions to foreclosure problems. We are a professional real estate buying company based here in the Kentucky Bluegrass.
We’ll listen to you, your story, and find out what you need. Then we’ll explain how we can help you.