When you receive a foreclosure notice in the mail it is best to
understand what their procedure will be. If you know this then you will
be able to tell how much time you have, to see if you can prevent
repossession. It is good to be able to explore your options rather than
just sitting back and letting it happen. Repossession of your home is an
ugly affair and has far reaching affects. If you can stop this from
happening then you will be able to avoid further problems. Once you know
the steps that will be taken you can be prepared. Here are the steps
that are taken when your house is to be reposed.
Many states have different laws concerning foreclosure course of action.
You will need to check your particular area for details. However the
basic steps will be the same. Firstly you will need to understand
exactly what this term means. It is when you default on your payments
and you receive a notice from the lender that they will be repossessing
your home. Your circumstances will decide your next steps. As soon as
you get the notice, find out as soon as you can what your choices are.
Do not think that just because you received the repossession notice your
home is gone there are steps you can take too save your house and credit
rating.
Foreclosure prevention services are companies that can help you to stop
your home from being repossessed. They will advise and help you, by
advising ways that you can use to prevent this disaster. It is crucial
to know all about the company before you sign any contracts. There are
some good companies that will be able to resolve your problem. However
there are also a fair number of scammers out there.
Warning signs when you choose a foreclosure prevention service:
In order to stop any further problems be careful to check for these
warning signs. When you see these tactics being used by the company you
are dealing with you should think again before signing up with them.
There are a lot of people who get lured in by these disreputable
companies and lose everything. You do not have to be one of these
people, and when you stay alert and do not panic you can fix your
problem without getting conned. Watch carefully for these points.
Fees for a foreclosure prevention service:
If a company is asking for fees before they deliver any service, be
careful. They may just take the fees and run, leaving you in a poorer
position than before. It is common for these scammers to charge large
fees and then just disappear without rendering any services. They either
cannot be reached for inquiries or just close their doors and run.
A couple more tricks:
Another scam these disreputable companies have is to try to get you to
give the mortgage payments directly to them. This is taking a big gamble
and can put you in bigger trouble that before. Another way foreclosure
prevention services can trick you is when a company asks you to sign
over the property deed to them. You are taking a huge risk doing this as
you may end up losing everything. Be very sure to make sure what they
will be capable of doing for you. If possible get it in writing. Read
the contract very carefully and if necessary get your attorney to check
it before you sign anything. It is better to be safe than sorry.
Remember it is your home and reputation on the line.
Positive signs when you hire a foreclosure prevention service:
Try to find a company that gives a free consultation at first. This will
help you to clarify your situation and let you to see what options are
available. This will also give you the opportunity to check out the
company and know fully what they can do for you in your particular
situation. A free consultation usually means that the company is more
reliable as they are prepared to give you some of their time to enable
you to resolve your problem, before they ask for money.
Credentials:
It is wise to check out their credentials. A foreclosure prevention
service should be honest about their success rate in helping you. There
is no way that they can give 100% guarantee that they will be able to
help you out. Also they should be registered with the Better Business
Bureau (BBB).
In the end however, if you see that circumstances will not improve then
you might think about selling your home and arranging someone to invest
in your property. Try not to let your home go through the foreclosure
course of action as this will mess up your credit and you will not b
able to get another mortgage easily for a second home. You will lose a
lot of money when you lose your home.
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