Many people have faced mortgage debt and foreclosure in recent years. As the housing market crisis continues to challenge homeowners every day, more people are being forced into drastic measures to save their homes. Unfortunately, many people aren't able to secure a solution in time or, worse yet, simply don't know their rights when it comes to managing their mortgage debts.
Your Options
Choosing between mortgage debt solutions can be overwhelming. The best place to start is with a loan modification, in which you can negotiate changes to the terms of your existing loan that can significantly lower your monthly payment. Lenders can be stubborn with qualification standards for a loan modification, which may lead you to consider refinancing. This option may be able to lower your monthly payment, but be sure you can afford the out of pocket closing costs.
If you are unsure about your ability to maintain even a reduced monthly payment, consider requesting approval to enter a short sale. Selling the home in exchange for being absolved of your mortgage debt liability can protect your credit more so than allowing the home to enter foreclosure. Finally, a deed in lieu of foreclosure may be able to get you out from under your mortgage debt in exchange for signing over the deed to the lender. However, remember that this option is a last resort and should only be pursued if no other option is possible and foreclosure is imminent.
Your Rights
As a homeowner, you are afforded certain rights when it comes to dealing with lenders. Even in a non-judicial foreclosure state, lenders cannot simply foreclose on your home without following a few basic requirements. The trick to managing lenders is to know your rights and ensure they are following the rules.
First, lenders are required to provide you with written notification about an impending foreclosure. The amount of time allotted for these notifications varies by states, some as little as 30 days. However, your lender cannot initiate the foreclosure process of HARP loan without informing you in writing of your delinquency and their intent to foreclose.
Next, you have the right to request a mediation hearing with your lenders present. This hearing will allow you to sit down and discuss your loan options with your lender. To ensure you are getting the most from this hearing, consider hiring a foreclosure lawyer to represent you with such legal matters.
Last, remember that you have the right to negotiate a solution with your lender directly at any time. You may request options such as a loan modification, short sale or refinancing option in lieu of a foreclosure. If you are unable to secure a deal, consider one of several federal programs that are offered to assist homeowners. The HAMP and HARP are two programs developed by the government that can offer modifications or refinancing to homeowners that may not qualify under their lender's standards.
To learn more about the HARP loan options available to you, visit http://www.confirm-eligibility.com/
Your Options
Choosing between mortgage debt solutions can be overwhelming. The best place to start is with a loan modification, in which you can negotiate changes to the terms of your existing loan that can significantly lower your monthly payment. Lenders can be stubborn with qualification standards for a loan modification, which may lead you to consider refinancing. This option may be able to lower your monthly payment, but be sure you can afford the out of pocket closing costs.
If you are unsure about your ability to maintain even a reduced monthly payment, consider requesting approval to enter a short sale. Selling the home in exchange for being absolved of your mortgage debt liability can protect your credit more so than allowing the home to enter foreclosure. Finally, a deed in lieu of foreclosure may be able to get you out from under your mortgage debt in exchange for signing over the deed to the lender. However, remember that this option is a last resort and should only be pursued if no other option is possible and foreclosure is imminent.
Your Rights
As a homeowner, you are afforded certain rights when it comes to dealing with lenders. Even in a non-judicial foreclosure state, lenders cannot simply foreclose on your home without following a few basic requirements. The trick to managing lenders is to know your rights and ensure they are following the rules.
First, lenders are required to provide you with written notification about an impending foreclosure. The amount of time allotted for these notifications varies by states, some as little as 30 days. However, your lender cannot initiate the foreclosure process of HARP loan without informing you in writing of your delinquency and their intent to foreclose.
Next, you have the right to request a mediation hearing with your lenders present. This hearing will allow you to sit down and discuss your loan options with your lender. To ensure you are getting the most from this hearing, consider hiring a foreclosure lawyer to represent you with such legal matters.
Last, remember that you have the right to negotiate a solution with your lender directly at any time. You may request options such as a loan modification, short sale or refinancing option in lieu of a foreclosure. If you are unable to secure a deal, consider one of several federal programs that are offered to assist homeowners. The HAMP and HARP are two programs developed by the government that can offer modifications or refinancing to homeowners that may not qualify under their lender's standards.
To learn more about the HARP loan options available to you, visit http://www.confirm-eligibility.com/
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