What to do if your facing a foreclosure?

With today's economics, hundreds of thousands of people and this number continues to increase are finding themselves with the situation of foreclosure. Foreclosures don't happen just to people that take risky loans or are over-leveraged, it is happening to people who are getting divorced, needing to relocate for a job, having health issues, and lots of other reasons. No matter what the reason is for falling behind on your mortgage, knowing what to do next is really important. Too often, many people who face foreclosure do nothing. You have to consider what should be done and who you should contact.
If you find yourself possibly facing foreclosure, here are some steps to help you.
Start Now: Stop panicking and look at your finances: look at your income, look at your expenses, and any liquid cash that you may have. The sooner you are honest about your financial situation, the better.
1. Get Counseling: Many agencies offer FREE advice to homeowners who need it. The Department of Housing and Urban Development (HUD) has a list of certified counselors on its website and Neighbor Works has a toll free number (1-888-995-HOPE) that refers you to people in your area.
Also, when dealing with your counselor, get organized. Have the following information below will help your counselor get you better and faster service:
• Two months worth of pay stubs
• Any communication with your lender
• Homeowner's insurance policy
• Foreclosure notices
• Two most recent mortgage statements
• Two most recent tax returns for those listed on mortgage
• Proof of any income
• All bank statement for previous 2 months
2. Talk with your Lender: In reality, your lender does not want your property back. It is not profitable to them. Most lenders are willing to work with homeowners. It will take a lot of persistence on your behalf. You will need to be honest with the lender and let them know that you are not going to be able to make it and if they can suspend the payment or lessen the payment. Consider a Short Sale and contact a real estate agent.

3. Get Creative: Think outside the box. A lot of people are taking in boarders and renting out rooms. Some are renting out their whole house and living with family members until they get back on their feet. Some people are considering a second job that is different from their first job. Others have sold one of their cars and now are taking public transportation
You should also ask yourself if you belong in the house. Did you go over your head when you purchased the house because of the certain loans that were offered at the time?
Foreclosure can be frustrating and draining, but if you seek help and consider the above tips you will be less stress and ready to get back on your feet.  Before the bank goes to the foreclosure you should contact them about negotiating a short sale for your property.  This would also be a good time to consult a real estate agent who has experience with short sales. 


For more assistance contact me at queensshortsales@gmail.com