In today’s fast changing environment, it is important to stay on top of things and make appropriate plans to tackle challenges as they occur. However, with the economy still a bit shaky, it can become quite easy to slip behind on payments. Add to that an increasing number of people being forced to work endlessly in minimum wage jobs, and you have the perfect recipe for foreclosures.
The foreclosure process forces the sale of assets in an attempt to recover the amount of a loan. However, with a little help from the right mortgage foreclosure attorney, you can stop the process and avoid losing your home.
Remember that you have a number of foreclosure options in order to keep your property. Read on to learn more about how foreclosure attorneys can help you.
The Best Options to Stop Foreclosure
If you have received notification of a foreclosure, it is time to consult a foreclosure attorney. Depending on your situation, the attorney may suggest one or more of the following options:
- File a Lawsuit:
One of the first things attorneys do is check if you are facing wrongful foreclosure. There are times when your lender may be violating foreclosure laws – even larger lenders including banks may sometimes skimp on the details. If this is the case, your attorney may recommend filing a lawsuit to stop wrongful foreclosure.
- Filing for Bankruptcy:
Filing for bankruptcy is one way to get your life back on track and bring back your debt repayments down to a more manageable level. Depending on your total assets, your attorneys may recommend filing for Chapter 13 or Chapter 7 bankruptcy in order to avoid the seizure or liens on your property, vehicles, and bank accounts. Bankruptcy can be declared after you receive a notice of default or a notice of trustee sale. Filing for bankruptcy will immediately halt the sale of your property and stop the foreclosure process in its tracks. This is because filing for bankruptcy results in an automatic injunction prohibiting your lender from attempting to collect their debt by selling off your assets.
- Short Sale:
One other option your attorney may advise you to consider is a short sale. This option essentially includes selling your home while minimizing the damage to your credit score and reducing the risk of delinquency. A short sale saves the trouble of going through a long, drawn out foreclosure process and pay off part of the debt. The terms for each short sale are negotiated with the lender and must be agreed upon in full before going ahead with the sale.
- Deed in Lieu of Foreclosure:
This option involves you, being the homeowner, transferring ownership of your property to the lender voluntarily. In return, the lender releases you from your mortgage and loan payments. Of course, you must meet the specified eligibility requirements and mortgage release terms offered by your lender.
To learn more about which option may work for you, contact a foreclosure attorney today. Foreclosure lawyers will help you find the best path out and address your issues and save your home.