Homeowners facing foreclosure have many options in today’s market.
If you’ve missed mortgage payments and want to learn how to stop a foreclosure, I’d like to help.
My goal is to help property owners deal with a difficult situation. My team and I treat each person individually and get personally involved with them. When you’re dealing with your everyday stresses, know that you can trust us to maintain the highest level of confidentiality, discretion, compassion, understanding, and ethics. Take the time to learn how to stop a foreclosure.
We want to understand your unique circumstances and apply our vast knowledge of strategies to help you find the right solution. In addition, we pride ourselves on working with you on your timeline and providing regular updates so you can make the best decision. Maybe you want to sell…maybe not…it’s your choice to make. Together we can help you take the next step in your life.
For Traditional and Creative Selling Strategies (including Short Sales, Wraps, Mortgage Payment Assignment, Lease/Optioning, and more) CLICK HERE
For your information, I’ve provided just a few strategies that may be of interest to you. They include:
- Temporary Restraining Orders
- Forbearance Plans
- Loan Modification
If you are considering using any of the options below, be sure to consult your attorney, CPA or financial planner where applicable.
The best way to temporarily stop a foreclosure (up to) the day before an auction (and when a homeowner has unsustainable debt beyond the home mortgage) may be to declare bankruptcy. Bankruptcy is another common strategy to avoid foreclosure (temporarily). A home cannot be sold or foreclosed on (auctioned) while in bankruptcy (Ch 7 & 13).
Sometimes when a homeowner is behind on loan payments and is facing foreclosure, they will declare bankruptcy. When this happens, the lender will file a motion with the bankruptcy court to have the bankruptcy stay on the home lifted (because the owner is not paying the loan). At this point the stay is lifted and the home goes back into foreclosure and to auction. Thus, bankruptcy can be an effective, although only temporary delay of a foreclosure.
Advantages and Disadvantages
The advantage of declaring bankruptcy is that it can be done at the last minute just before the home is actually auctioned off by the lender. Once the bankruptcy is declared, the auction is stopped or nullified until the lender stay lifted.
The disadvantage of declaring bankruptcy is that the vast majority of homeowners that declare bankruptcy to stop a foreclosure end up getting a bankruptcy AND a foreclosure on their credit. This is because a bankruptcy only DELAYS the foreclosure, and does not prevent it. Also, fees and missed payments pile up during bankruptcy making foreclosure more likely and less preventable.
If a homeowner’s financial problems can be mostly resolved by selling their home, a short sale or other options for the seller are much better than a bankruptcy Unfortunately – a bankruptcy attorney will rarely tell clients this!
Most homeowners that consult only a bankruptcy attorney when looking for solutions to avoid foreclosure will end up concluding they have only one option – declaring bankruptcy and getting a foreclosure even though both might have been avoided.
Bankruptcy is a big decision. Before (or in conjunction with) exploring this option, make sure you talk to a creative real estate investing professional about all of your options!
Regardless of your situation, income, or equity, if you would like to discuss all of your options for selling your home quickly to avoid foreclosure, please CLICK HERE
Common Questions about Bankruptcy
Question: How and How Much?
Answer: Generally you consult with a Bankruptcy attorney and complete the paperwork and they file it with the courts. Attorneys charge different fees for this. We have seen this cost around $2,000 for most people (for a fairly simple bankruptcy). Complex bankruptcies may cost more.
Question: Does a Bankruptcy Stop Foreclosure?
Answer: Yes, but only temporarily. Bankruptcy delays a foreclosure until the lender files a motion to have the bankruptcy stay lifted. This almost always happens. During this delay, fees and missed payments pile up making foreclosure more likely and less preventable.
Question: Are there alternatives?
Answer: Yes. We’ve covered many options throughout this website.
IMPORTANT NOTICE: Before using this service, consider the following information: Our company cannot charge you any upfront fees in conjunction with providing you any type of mortgage assistance relief service. Our company is NOT associated with any government agency or program and our company is NOT approved by the government or your lender(s). You may stop doing business with us at any time with regard to the short sale, our short sale negotiation services (if any), or real estate brokerage services (if any). If you stop paying your mortgage, you could lose your home and damage your credit rating./blockquote>