I don't want to lose my house! How do I keep it?

No one wants to lose their house to foreclosure. Its scary and stressful. There are so many what ifs and unknowns that come with it. So if you truly want to save your home, what are your options?

You can speak to your lender and ask them to work with you. They'll want to know why you got behind, also known as a hardship letter, which explains why you got behind. They'll also want to know about your finances now, including how much you and anyone else in your household makes and what you owe. This will determine whether you have the income necessary to keep on making the payments on your property. It also helps them determine what kind of financial options they'll offer you.

You can have someone who specializes in loss mitigation to work with your lender for you. They usually have more experience and relationships with lenders and their loss mitigation departments. That may give them an edge on getting you a workable deal. Be careful of companies who want you to sign something that gives them you're deed (these people are trying to steal your home from you). Most companies charge a fee for this service (it is how they make their money), but not all are a ripoff. If they are not able to assist you in saving your home, they may have access to investors who will buy it -- again, get some professional advice before accepting an offer that seems either unreasonable or too good to be true.

There is NO magic answer. Its true that lenders don't want to own your home. They make their money by loaning money, not owning property. It always costs them more to own it because that's money they can't loan, and they don't manage the properties they own. They pay legal fees to take property back and then have to pay more fees to sell it including closing costs to title companies and real estate broker commissions. However, you must be able to show you can now make reasonable payments or there is no way to save your property.

All you need to do is pick up a newspaper or watch the news to know you are not alone. This is a very stressful time for many people who can not afford to keep their homes. Don't be afraid to talk to your lender and, if looking to outside companies or investors, make sure to do a little homework before you say yes to their services or offers.

If I can be of assistance to you or someone you know, don't hesitate to drop me an email with their name and phone number.