How to Avoid Foreclosure in Today's Market.

You must first ask yourself if staying in your home is the ultimate priority. You must weigh the pros and cons and determine the cost of staying versus the damage the foreclosure will do to your credit. It is a hard decision to make, but staying in a home that is $150,000 upside down may not be a better idea that taking a hit on your credit and moving to a rental property that you can more easily afford.

1.     The first step to avoiding a foreclosure is to speak with the lender. Whether it is a small lender or bank with just a few people or a large national bank, they want to talk to you and they WILL keep track of who is responding. Banks know more than the rest of us, how hard hit homeowners are at this time. They have a reputation to uphold and an investment to protect. They will be far more willing to work with you if you answer their phone calls and talk to them on a regular basis. You cannot be afraid to admit that you have fallen on rough times and need time and/or help to work things out.

2.     Send any money you can, even if it is less than half of the regular monthly payment on a regular basis. They bank cannot start or continue a foreclosure if they are accepting money from you. In times like these, every little bit helps. If they continue to cash your checks then you will prolong the foreclosure until things get better. Keep record of your payments and when the checks were cashed. Make sure that you bring the accepted payments up to the person on the phone when they call. This is a tremendous display of effort on your part and will buy you several months of time to work on your problems.

3.     Do not accept NO for an answer. The bank representatives on the telephone will use almost every phrase in the book to make you think that the options they have suggested are the only ones available. Continue to ask what other programs they have to help you stay in the home. Times will get better, if your house has only gone down 20% below what you owe, it may still make plenty of sense to keep it. You must weigh the costs of the extra payments versus the damage to your credit.

4.     Continue to work on it until their foreclosure sale auction is complete. I have seen a number of occasions where the bank has pursued foreclosure right up until the day before the foreclosure sale, only to stop the foreclosure and add the back payment on to the loan. The borrower only has to continue to make the regular monthly payments, and maybe a few dollars more, later down the road. This is a tremendous option for a borrower who has only temporarily hit hard times and would ultimately like to keep the property.

http://www.PropertyHookup.com is a foreclosure resource for buyers and investors who are looking for a great deal. However, being in the business, we have seen thousands of good Americans lose great homes because they just weren't informed enough about the options and tactics on their side to help them endure through these hard times. If you or anyone you know is struggling with the financial burden of a foreclosure home, write me any time, thanks.

information@propertyHookup.com

Kallen Kildea