• To Log in or Sign Up for My Property Finder Click Here

Kasia Nowakowska

Sales Associate

Avoiding Foreclosures And  Understanding Your Options

 Are you behind in your mortgage payments, or concerned that you soon might be? Have you received a preforeclosure letter from your lender?

First of all, don't be ashamed. Millions of homeowners are in your situation – many times through no fault of their own. A job loss, a serious illness or other circumstances can put you in danger of foreclosure. Many homeowners being "under water" in their loans, meaning they owe more than their home is worth, making it impossible to refinance. 

Many lenders would rather not foreclose. They take a large financial hit on a foreclosure. So in many cases, they'll consider viable alternatives. Some of these alternatives may keep you in your home.

Loan Modification

Your lender may be willing to modify the terms of the loan, whether it's reducing the principal, lowering the interest rate or other creative strategies to make the loan affordable for you.

Short Sales

This is the fastest-growing foreclosure alternative. Many lenders will allow a Short Sale, when the home sells for less than the amount of the loan. This is attractive for lenders because they lose less money than in a foreclosure.

* take less time than foreclosures, so the banks don't have to carry the properties on their books as liabilities.
* attractive for homeowners because the impact on their credit is far less than in a foreclosure.

* You may be able to buy another home in as little as two to three years after a Short Sale, compared with a typical seven-year wait after a foreclosure.


Foreclosure (Cash for Keys)

One of the biggest problems in foreclosures is that homeowners sometimes physically damage the property, or even sell some of the fixtures, before leaving. Needless to say, this is not a good idea. It may expose the homeowners to financial and legal liability.
To prevent this, some lenders offer a program called "Cash for Keys." The homeowners receive a check for vacating the property within a certain time period and leaving it in good condition. If you have no alternative other than foreclosure, you should ask the bank about this option.

Please contact me for appointment as soon as you behind in your mortgage payments, or concerned about your financial situation.