When a foreclosure notice lands in your mailbox, it can be a very distressing time. Such a notice in effect means that you must vacate forfeit your home within the time stated in the notice.
Panicking is one of the worst things you can do when facing imminent foreclosure. It is at this time that you must be levelheaded and calm so that you can respond effectively.
Key Action Steps to Getting from Underneath The Foreclosure
As long as you take all the right steps to dealing with the foreclosure news, you will emerge from it relatively fine. Below are the key action steps that will help during this time.
i) Staying Away from Scams
There are a lot of companies in market today that claim to offer relief from foreclosures. Some are legit and some are not. All they ask you to do in return is to sign some documents that transfer ownership of the home to them.
Inasmuch as you want to fix the problem quickly, going for these relief companies is terrible idea. There have been numerous cases of where people have tricked into signing over ownership of their home and even had to pay rent on their own property. Therefore, you must do thorough research on those companies and read every document they put in front of you to sign.
ii) Don’t Ignore The Problem
When foreclosure is imminent, don’t bury your head in the sand. The issue is at your doorstep and you need to be decisive about how you deal with it.
iii) Contact Your Lender If You Think You Will Fall Short of Paying The Loan
Good communication with your lender about problems that will make you fall behind in your payments is ideal. It will show the lender that you have the initiative and commitment to resolving the foreclosure issue as expeditiously as possible. Never let the fear prevent you from notifying your lender that you are about to fall behind on your payment.
iv) Read Every Correspondence with Your Lender
Never let the mail from your lender pile up on your desk. First notices will provide you with essential information about the terms and conditions of the foreclosure. Subsequent notices will notify you about the timelines and other pertinent information.
v) Get to Learn About the Laws Governing Mortgages And Foreclosures In Your State
There are a lot of resources out there that will help you get familiar with law about real estate. Don’t sit on your hands and just wait for the blow to land. Educate yourself about your rights as a property owner and what recourse you have to deal with foreclosures. Laws vary from state to state.
vi) Consult A HUD Counselor
If you are still at a loss about how to proceed after receiving a foreclosure, a Housing and Urban Development, HUD, counselor should point you the right direction. Their consults are cheaper than attorneys and even free sometimes but also very invaluable.
vii) Consider Loss Mitigation
Loss mitigation is where you and lender renegotiate the terms of your loan. This way you find a more amicable solution to the foreclosure impasse.
viii) Sell Your Home and Cover the Cost of The Loan
Selling your home quickly will ensure that have enough money to cover the loan. Look for companies that buy houses fast in Fort Lauderdale to get that sale off the ground.
ix) Consult with A Licensed Foreclosure Defense Attorney
There are many attorneys in the state of Florida that specialize in foreclosure defense. These attorneys know your rights a borrower and can help protect you during the process and also minimize your losses. It is very important to hire a good attorney who has a plan of action to help you prevent the foreclosure from going through and causes damages to your financial life.
x) Sell Some of Your Other Assets
Instead of selling your house in Fort Lauderdale, you can sell some of your other assets to cover the loan. This way you can forestall or fully prevent the foreclosure process.