Will All The Foreclosure Government Relief Programs Get You Out Of Foreclosure?
Over the last few months, both the federal government and local governments have been introducing foreclosure bailout plans. For some of these plans, lenders are required to participate, and others are at the banks discretion. But there are many participating banks and basically every government backed mortgage is on hold from foreclosure. With all these new moratorium plans, there is a lot of doubt and many of the worlds top law makers feel we're headed towards certain disaster.
The main issue with many of the foreclosure relief plans is that the government is spending money it doesn't have and wont have in the near future. This is setting our financial system up for hardship for a long time. Essentially, the government is just putting the problem off until a later date by printing more money and killing the value of the dollar. This couldn't be more true with all the moratoriums across the country. Most of these plans call for a 90 day hold on foreclosures, but don't have any plans for actually helping the home owner out of foreclosure. They don't require the lenders to modify loans and they don't offer any additional support or even advice for the homeowners.
Many homeowners are enjoying the break from worrying about missing payments, but then 90 days later, when they are evicted, they don't understand what happened. One second they were safe and the next the sheriff was posting an eviction notice on their door. This is happening all over the nation because consumers are completely uninformed of what's happening.
Many people think that just because there was a break in the foreclosure process they can stop worrying. They think that a bailout plan or their bank is going to provide a solution before the process begins again. This just isn't the case; if you want to save your home, you'll need to do it yourself or find a professional to do it for you.
In the event you are one of the lucky ones who was helped by a bailout plan, make sure you get all the proper paperwork and that everything you agree to is in writing. And remember, once you've gotten a loan modification, missing another payment is not an option! When a payment is missed, it can be as if the foreclosure process never stopped. You could literally lose your home the same week!
If you are getting closer to the sale date and you have not received a deal from your bank, or if you don't have a contract in place, it's time to seek immediate help from a specialist. There are many companies and individuals in the real estate and mortgage industry who can help you negotiate a deal with your bank. Although you should get help as soon as you know you're in foreclosure, it's never too late. In fact, when our company was providing modification services, it was not uncommon for us to stop a sheriff sale a day or two before it happened. Knowing the right person to contact and having a good reputation with a lender can make all the difference in the world, so try to find someone who has a relationship with your exact bank.
Ultimately, if you are going to lose your home to foreclosure, you'll need to take care of it yourself. If you don't have the experience or knowledge to deal with it by yourself, or if you been spinning your wheels up to this point, then it's time to seek professional help. Don't wait until your home is gone; take action now before it's too late!
Nick writes for the ForeclosureFish website and blog, which provide foreclosure help and advice to homeowners attempting to hold onto their properties. The site describes numerous methods to avoid foreclosure, including bankruptcy, foreclosure loans, stopping a sheriff sale, and many more. Visit the site today to read more about saving your home while there is still time: www.foreclosurefish.com
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