Many folks are facing financial difficulties be they they short or long term. If that is YOU…you should start exploring your options TODAY!
Even if you haven’t yet missed a mortgage payment, but are worried you might fall behind soon, now’s the time to start t learning about your options. You may be eligible to refinance or modify your mortgage loan, lowering your payment and making it more affordable. Even, if you’ve missed payments and find yourself buried under late fees and past-due amounts, you may qualify for a temporary (or permanent) solution to help you get your finances back on track and avoid foreclosure.
Options include refinance, repayment plan, forbearance, modification or the newest option, deed-for-lease.
REFINANCE: New loan , new terms and new interest rate the replaces your existing mortgage. In some cases even if you owe more than the home is worth you may be a “fit” for the Home Affordable Refinance Program (HARP).
REPAYMENT PLAN: An agreement that lets you pay the past due amount—added on to your current mortgage payments—over a specified time period to bring your mortgage current. may be less damaging to your credit score than other options and let’s you stay in your home.
FOREBEARANCE: If you just need time to get back on your feet.you may convince your mortgage company to temporarily suspend or reduce your monthly mortgage payments for a specified period of time.
MODIFICATION: It is possible to obtain an agreement between you and your mortgage company to change the original terms of your mortgage including payment amount, length of loan, interest rate, etc. So far we have not seen many modifications including a principal reduction…but it has happened. You may also be eligible for the government’s Home Affordable Modification Program (HAMP) created to help struggling homeowners.
DEED-FOR-LEASE: One of the newest options allows you to temporarily lease your home. You first transfer the ownership of your home to the mortgage company (called a Deed-in-Lieu of Foreclosure) in exchange for a release from your mortgage loan and payments. You can then rent the property back hopefully at an affordable rate…and remain in the home as a tenant.
You can check out all of these options and get more information at http://knowyouroptions.com/.
If you have questions about your situation please give me a call at 602-504-3898 and let talk about it. It is also advisable to have a talk with your attorney as well as you tax advisor to make sure you TOTALLY understand the potential future repercussions of your choices. If you need a referral to an attorney please give me a call and I can help you with that as well.
If you are looking for a GREAT agent to help with your real estate need please give me a call at 602-504-3898 or 888-897-7821 x 114. Plus, I have a GREAT search tool on my web site that gives you the ability to search the entire MLS…just like agents do. Very COOL! Go to Metro Phoenix Homes and check it out! If you save even one home as a favorite, you will be prompted to enter contact information. If you do this…YOU can create and save as many searches as you would like. It is THE BEST MOST ACCURATE SEARCH OF OUR LOCAL MLS!!