Behind on Your Mortgage?
Quick Tips to Prepare
Did You Know?
- The lender really does not want to take your house from you.
- In half of the foreclosures, the home owner and lender don’t talk before the foreclosure. Mail from the lender goes unopened.
- Lenders are more flexible now than in the past. They do want to talk with you.
- “Foreclosure Assistance” fraud is at an all time high – they prey upon homeowners in distress who want a quick answer to their problems. Get a second opinion before signing anything!
There is nothing worse than doing nothing…
Take Action:
1. Know Your Personal Business:
Your Current Assets: List wages, other income, 401(k), savings
Are there other ways to increase your income? Part time job, sell (NOT pawn) some possessions, take on a roommate?
Your Expenses: List all expenses including credit card debt (account balances, interest rates, etc.), utilities, child care, transportation, health care, etc.
2. Know your Mortgage (loan on the house):
Does your mortgage payment include escrows for property taxes and home insurance? Is there a pre-payment penalty? When does the interest rate adjust and by how much? How much is the loan compared to the value of the property? (Do you have any equity?)
3. Can you really AFFORD to stay in the house?
If not, there are some legitimate options that may help you financially recover sooner without a foreclosure.
4. Call your mortgage company and ask for the Loss Mitigation department (not the Collections department).
Ask if they will restructure the loan. Sometimes they won't talk with you until you miss a payment. Be prepared to document why you've missed payments and your current financial situation. Write down the dates and times of your calls and the name of the representative you speak with.
5. If you live in Georgia, call The IMPACT! HomeOwnership Center at 678-808-4477 for more technical assistance.
Be patient, yet persistent! You will get through this!
