When you fall behind on your mortgage payments on your Lagrange home, it can feel like you’re drowning in debt. It is a stressful & not fun place to be.
Even if you’re able to make your monthly payment, catching up on a past due balance can be an overwhelming challenge.
Several choices exist to prevent foreclosure in Lagrange and potentially retain your home, despite being significantly behind on payments. While many properties in Lagrange have succumbed to foreclosure, there are numerous methods to circumvent it.
Help, I’m Behind in My Mortgage Payments in Lagrange! 5 Things You Can Do To Help Your Situation
1. Bankruptcy:
Bankruptcy is a last-ditch option to negotiate with multiple lenders at once if you have a lot of debt. Although it requires significant effort, it may not help you avoid your mortgage, and each lender handles it differently. Seeking high-quality professional assistance is strongly advised. Again, this should likely be your last resort, but if you are in a desperate situation, could be your best option.
2. Reaffirm:
Reaffirming the loan may have unseen penalties. It is essentially committing to an additional payment commitment. Some states allow affirmation and it can lead to additional liabilities if your property is auctioned.
3. Making Home Affordable (MFA):
If your mortgage qualifies, you might be able to participate in MHA. Any loans backed by Fannie Mae or Freddie Mac must be considered for MHA, and other lenders choose to participate in MFA.
MFA could lower your payments, interest rates, or principal balance, especially if your home is worth less than what you owe. If you’re jobless, you could also be eligible for a temporary payment suspension or reduction.
MFA is a government program, so be prepared to deal with lots of paperwork. It ain’t free money – you gotta work for it. Keep your blood pressure medicine readily available.
4. Negotiate with your bank:
Lenders often offer assistance, such as reduced interest rates or temporary payment reductions, but obtaining it requires effort.
Usually, lenders will suggest you refinance your loan, but if you’re already a few payments behind, you may not be eligible for a lower interest rate.
Negotiating with a bank requires patience and effort. Being polite is crucial, and it may take many phone calls to navigate the bureaucracy. Avoid sounding desperate, and provide supporting documents to explain your situation. Reassure the bank that you intend to stay in your home long-term and ask for help from every person you speak with.
To temporarily resolve the situation and remain in your home, you may seek help from your bank. Some banks may be willing to add a few missed payments onto the principal balance of your loan, especially if you explain your financial difficulties and show your willingness to cooperate. Remember that banks are profit-driven, so they may be willing to work with you to avoid a foreclosure auction, which would result in a significant loss for them.
That sounds obvious, but for some reason, bankers seem to forget it when saying no to someone in need of help.
5. Borrow money from a private investor:
If you’re behind on your payments and need to sell fast, we can help.
In certain circumstances, we may even be able to help you stay in your home.
We work with homeowners in Lagrange to find solutions to foreclosure problems.
We’ll let you know how we can help. We primarily focus on home buying, but in certain circumstances we may be able to connect you with a private lender who would be interested in helping you out. However, we generally don’t recommend this option as the terms are rarely very good for you.
Joke of the Day:
What’s the difference between an outlaw and an in-law? Outlaws are wanted.