Forclosure
I was in chapter 13 and missed a couple of house payments. Now I am in danger of the foreclosure starting again. I spoke with my lawer and he indicated that I would have to pay the total back mortgage payments to keep my house. Is there any other way? Help
Thanks Chappie
Hey Chappie.
Some mortgage lenders can be flexible if you speak with them directly, immediately. Foreclosure is not in their best interests, keeping you as a customer is. Some companies, if you are honest and forthright with them, will help you brainstorm solutions. However, if you do not communicate with them, they will continue the process and insist upon full payment of back payments and additional fees. If I were you, I would speak with my mortgage lender immediately, explain the situation and ask them for their help.
If they still demand full payment, you have some other options. In order to keep the house, you could always borrow money from a hard money lender who will use your house as collateral. Keep in mind though, their interest rates are high and they are not likely to be sympathetic if you default. Then they own your home.
If you're not going to be able to keep meeting payments, I would sell the home in a preforeclosure process. There are numerous investors who specialize in purchasing preforeclosure homes- they'll come in, give you an offer on the home and bring the mortgage current . You'll lose your home, but in this scenario, you'll save your credit, the investor usually supplies the homeowner with relocating monies and depending on your home's equity, you may even receive some additional monies. These are the options I'm familiar with.
Good Luck - Heather