5 Tips That Can Help You When Behind On Mortgage Payments
Being behind on mortgage payments for your Georgia house? This can make you feel like you’re in over your head financially. There are some solutions, however.
It can be extremely difficult to get caught up on a past-due balance, even if you are able to make your monthly payment.
Even if you are far behind on your mortgage payments, there are a few ways to possibly prevent foreclosure in Georgia and save your home. Many homes in Georgia have been lost to foreclosure, but there are options available to keep yours from becoming the next statistic.
Are you Behind On Your Mortgage?
5 Things You Can Do To Help Your Situation:
1. Bankruptcy:
This method is often reserved for extreme cases. Filing for bankruptcy is one option to deal with multiple lenders simultaneously if you’re drowning in debt. It’s a lot of effort for no payoff in mortgage freedom. Lenders may react differently to your specific set of circumstances.
Bankruptcy will affect your credit for adversely 7 to 10 years depending on which type of bankruptcy you file. With that in mind, you should make sure you find the best representation available to you so you can make an informed decision about bankruptcy.
Filing bankruptcy may be the quickest way to relieve yourself of the situation, but it should be the last resort. You should keep in mind that many banks will put you on their blacklist for years when you exercise this method.
2. Reaffirm The Debt:
The benefits of playing this card should be weighed against the possibility of unanticipated drawbacks. Simply put, reaffirming the debt implies a further promise to repay. If your property is auctioned in a state where affirmations are permitted, you may be subject to additional liabilities as a result of your affirmation.
3. Making Home Affordable (MFA):
You may be eligible for MHA if you have a mortgage that meets certain requirements. Fannie Mae and Freddie Mac loans are automatically eligible for MHA, whereas other lenders can opt into MFA if they so desire.
Reduced payments, interest, or both may be possible through MFA (if your home is worth less than you owe). It’s possible to have your benefits decreased or stopped altogether during a period of unemployment.
Since MFA is an official government program, it requires plenty of paperwork. But to get money like this in a time of need, it’s worth it.
4. Negotiate with your bank:
Several lenders customarily provide some sort of aid. You’ll have to put in some time and effort, but it’s possible to negotiate a lower interest rate or a trial period with decreased payments.
Lenders will typically try to guide you toward refinancing your loan; but, if you’re already behind on payments, you generally won’t be eligible for a rate drop. That is because refinancing relies heavy on your credit rating and often times being behind on the original loan will drop your credit scores.
Dealing with a bank requires significant effort. Getting through bureaucracy typically requires numerous phone calls and the patience of a saint. Don’t ever be impolite. You should ask for help from everyone you meet, but you shouldn’t come out as desperate. Provide the bank with an explanation, any relevant documentation, and assurance that you intend to remain a long-term resident of the home.
Most financial institutions are flexible if you’re facing temporary financial hardship but wish to keep your house. Sometimes they’ll let you roll over a few months’ worths of payments onto the original loan balance. For them, it’s all about the money, so keep stressing that you need their support so that you can reward them generously. Having to sell your home at a foreclosure auction will result in a significant loss for the bank.
5. Borrow money from a private investor:
If your home has equity in it, we can provide options for you to sell the home without any hassle. We are a private investor who can help if you are behind on payments and need to sell quickly. There are some specific situations where we may even be able to help you keep your house under specific conditions.
We assist Georgia homeowners in avoiding foreclosure through a variety of means. We can buy your home for cash fast within a few days, purchase your home subject to, or help you sell your home through various lease-to-own programs.
We work with homeowners in Atlanta to find solutions to foreclosure problems.
We’ll let you know how we can help.
