Preforclosure options

Bankruptcy has helped some consumers. The courts now have the authority to let you keep your home and either forgive a portion of your debt or modify the terms so you can make the payments. If you’re also buried in medical bills, credit card debt, or other obligations you simply can’t meet, this might be the best solution.

But… bankruptcy stays on your credit report for 10 years and could keep you from moving forward in life. In addition, it places some restrictions on your life that you might find very unpleasant. It might not be the best choice for you.  If you are interested please contact a bankruptcy lawyer to help you through the process.

Foreclosure is another option. You can simply quit making the payments and stay there until they knock on the door and tell you the bank now owns your home. For some this is a chance to live rent and payment free for several months and put away some money for a deposit on a rental home. But again – the effect on your credit rating is dire.In addition, you run the risk of a huge financial obligation that will follow you around forever. When the bank sells your house at a loss because the market has fallen, they might be able to come back on you to make up the “deficiency” between your mortgage balance and the dollars they collected from the sale of the house. This is another area where the rules keep changing, so check this before you act.

If you want to save your credit rating and have some money to help expenses in the future please contact Keys for Success.  Since both bankrupcy annd foreclosure options involve losing your good credit standing, why not get out from under the burden with a quick sale to Keys for Success?  We buy homes anywhere in the Colorado Springs area. We can act quickly, and get you out from under the burden before your credit report starts showing delinquencies.  You may walk away with enough cash to support yourself until you can get back on your feet..

You would need to contact your mortgage lender to see if this option is a possibility.  Interest rates are volatile and sometimes it is not worth the stress to go through this process.

In a short sale, the home owner, real estate professional, and lender work together to form an agreement to sell a home at current market value; this agreed upon value is typically below the existing balance on the home owner’s mortgage. The property is able to transfer hands to a new owner, removing the overhead and risk from the lender’s portfolio and relieving the existing home owner of the burden of an underwater mortgage. The short sale process can prove challenging, stressful, and time consuming; it requires persistence and dedication.

If you’re “upside down” on your loan, or have second or third mortgages to deal with, a short sale might be an option for you – saving you from the trauma of listing your home, keeping it in top showing condition for who knows how long, and worrying about whether it will sell in time to save you from foreclosure.

A short sale is one alternative to foreclosure.

Credit Counseling might be a good option if  you feel you have the determination and means to get out of your situation.