One of the most frustrating consequences of owing a significant amount of debt is the possibility of losing your home to foreclosure. If you are behind on your mortgage payments, you may get a notice from your lender that the foreclosure process will begin unless you make immediate payment. While this is a threat you should take seriously, there are options available to you.
You know that bankruptcy is often a reasonable option for those in this situation, but this may not be right for you. Instead, you may want to consider other options that will allow you to confront this issue head-on and stop the foreclosure process so that you can stay in your home. Before you make any final decisions about your future, you may want to speak with a legal expert about what is best in your individual situation.
What should you do?
Once you receive notice of a foreclosure proceeding, you should not delay in learning about the options available to you. Before you assume you will have to leave your home, you may want to explore all possible foreclosure alternatives, including the following:
- Mortgage modification – This involves changing the terms of your mortgage, perhaps through refinancing, This could bring your payments down to an amount you can afford, allowing you to catch up.
- Special forbearance – This involves arranging a repayment plan that makes sense for your individual financial situation. You will likely have to provide proof to the lender that you qualify for forbearance.
- Fighting the lender – Sometimes, it is necessary to challenge the lender through negotiations or litigation. This may be an option if there are irregularities or mistakes in the lender’s records.
These examples are only a few of the options available to you when you are no longer able to manage your mortgage payments. You could be facing the threat of foreclosure, but that does not mean you have to leave your home.
Don’t panic – get help
It’s frightening to learn you could lose your home. Instead of panicking or assuming the worst will happen, you may want to take the time to speak with an experienced New Jersey attorney about your foreclosure defense options. It is possible there is a path you can take that will let you keep your home and regain a strong and stable financial future.