Avoid Foreclosure? Some Options That May Help You

Avoid Home Foreclosure - Millions of homeowners are on the verge of a home foreclosure and it does appear that they will be slowing down anytime soon. If you are one of them you may have some options, trying to work it out with the lenders to save your home and credit is one of them.

If you are facing a foreclosure on your Baltimore home, there may be options to negotiate a workout program with your lender. To get help with a foreclosure there a few easy steps:

1. You have to start by talking to your lender
Help is available if you are willing to workout a reasonable  payment plan with your lender, while this can sometimes be difficult, you may be able to save your home. They really do not want your Baltimore house back. Let us cover some other options that may be available to you if you are facing a foreclosure.

The continuing flow of creditors and collections agencies called you can be over whelming, while it may seem hopeless, you have options. Starting with the most important, your home, the others may have to wait and be fixed later.

2. Lenders usually will offer several options 
Homeowners that are in default on their contractual obligations of a mortgage payment typically don't understand that their bank  much rather workout a program that is best suited for all parties involved then to come and take your house. They are in the business of lending money, not managing properties. This is true even more today, with foreclosures at record highs, banks have been overloaded with homes that they must not manage and maintain until they are able to sell them to someone else.

3. The time that you have to negotiate a deal, is often very limited
In most states, a borrower that is in default 60 or more days is just about out of time and this is the case in Maryland as well. This period varies from state to state so make sure that you have checked your local laws. Lenders can and will take legal action to foreclosure on your home if you are not talking to them. 

4. These are some possible solutions that you can offer to the lender to avoid foreclosure 

**While not all will be satisfactory to the lender, you can at least make the offer and let them tell you** 

Reduced Payments
Lenders may be willing to take a reduced payment for a specific period, this will allow you to remain in the home and catch up the default amount over time. Some lenders will not allow you to do this, but it never hurts to try.

Short Sale
Lenders may let you sell the property for less then what they are owed on the loan. More and more lenders are allowing this type of transaction as they have realized that it costs them much more to pursue the foreclosure then if they just settle and take what they can get.

Payment Deferment
Some lenders may allow you to defer a payment or two, they tack the payments on the end of the loan and allow you time to catch up and stay current. This option is only just now beginning to become available as lenders are doing whatever they can to help avoid the foreclosure process.

While this article only covers a few options that may be available, check with your lender and try to work something out, it may keep you from losing you home in the process. Keep in mind that a foreclosure will cost you money, even if you just walk away. The impact on your credit is substantial and will hinder your borrowing power for years to come.

Selling your Baltimore property while going through foreclosure can be stressful. The foreclosure can be stressful and you can be held liable for any amount owed even after you no longer own the property. If you are not able to make arrangements with your lender, it might be time to sell your foreclosure house quickly. You don’t even have to hire an agent. Learn more about selling your house as-is, so can avoid foreclosure.

To learn more about how to sell a foreclosure house in Baltimore, get in touch with our team today! (443) 585-0922

As investor for over 10 years I've seen many situations and been able to help many people. I look forward to helping you with your real estate needs. Local, fast and reliable, we are happy to serve the Baltimore community.

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