Save Your Home

If you are currently late on your mortgage payments and want to avoid Home Foreclosure, here are five steps that can help you to save your home.

1. Contact your mortgage lender immediately. Discuss your financial situation in detail and ask for options on how to avoid Home Foreclosure.

2. Contact your other debtors immediately. Make lower payment arrangements that will allow you to continue making your mortgage payment and keep you out of Home Foreclosure.

3. Stay in your home. Moving out of your home may signify abandonment and may keep you from qualifying for assistance and programs to avoid Home Foreclosure.

4. Contact a HUD-approved housing counseling agency. A housing counseling agency can advise you on programs that you may qualify for to avoid Home Foreclosure. Some options to avoid Home Foreclosure include: special forbearance, mortgage modification, partial claims from the FHA Insurance Fund, pre-foreclosure sales, and deeds-in-lieu of foreclosure.

5. Abide by arranged terms. Be honest and realistic about your ability to resume payments and avoid Home Foreclosure. If you make payment arrangements, stick by them and pay them ON TIME. If you are unable to make the payments as arranged, contact the lender immediately.

Types of Home Foreclosures

The type of loan that was used to purchase the foreclosed home determines the type of Home Foreclosure. For example, if a home was purchased using a conventional loan, the type of Home Foreclosure will be a bank Home Foreclosure. If the loan was insured by an organization, the home becomes the property of that organization in the event of Home Foreclosure. FHA (Federal Housing Authority) loans that result in Home Foreclosure become HUD Foreclosures, and there are also Fannie Mae (FNMA - Federal National Mortgage Association) foreclosures, and VA (Veterans Administration) foreclosures. If the Home Foreclosure results from nonpayment of taxes, it is an IRS foreclosure.