4 Tips for Getting Out of Foreclosure
The foreclosure process is different for each state but one thing stands true no matter which state you are in, getting out of foreclosure requires you catch it sooner than later. These tips will help you no matter what stage of foreclosure you are in.
- If you have not already started the process of applying for a loan modification, do so immediately. In most cases this will stop the foreclosure process until such time you are approved for a loan modification. If you are using a modification to get out of a foreclosure completely keep in mind you will need to be prepared to comply with the new terms your lender gives you when they do approve the loan modification. The time frame for a loan modification application varies, but we have seen it take as long as 12 months and as little as 2 months. If using this method to get out of foreclosure it is necessary to provide your lender with everything they request to show you them are doing everything you can to get back on track.
If you need help applying for a loan modification to help you get out of foreclosure quick you can use our easy to follow, step by step Loan Modification Guide that walks you through every step to get your modification approved. The book provides worksheets that calculate all the numbers for you and provide you with printable forms you can use to submit directly to your lender. - Stay in constant contact with your lender so you know whether they have started the foreclosure process, what stage the foreclosure is in, and whether or not they have any alternatives they can offer. A call to your lender once a week to check the status of your loan modification or alternative offering is a must in getting your foreclosure out of the queue. If you do not respond or communicate your lender's automated systems will file notices of default and begin the foreclosure process. If the process has started ask your lender if they can stop the process while you work out your loan modification or alternative direction.
- Provide a good faith payment toward your past due amounts. If you your intention is to keep the home but you just need to get out of the foreclosure process, then paying something is inevitable. This shows the lender you are sincere and want to get the loan caught up. Your goal is to make as minimal as possible but in most cases it should be at least one payment. Work with your lender to ask them what minimum amount is necessary to get you out of the foreclosure process.
- See if you qualify for and if your lender is participating in the Home Affordable Foreclosure Alternative programs (HAFA). The end result with most of the alternatives in this program are you selling your home or giving it back to your lender, but with your cooperation and theirs. The benefit of this is that it makes the process much more predictable and allows you to get out of your foreclosure in a much more structured way so you can gracefully exit within planned period of time.
For more details on all Loan modification programs available to you and how to apply for a loan modification quickly you can download our book now to get started today: Loan Modification eBook