Options to Stop Foreclosures

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We are in an epidemic of mortgage foreclosures.
 Decisions made when economic conditions were better have now landed 13% of all home mortgages in danger of foreclosure.
 The up side is that they are just in danger of foreclosure, not in foreclosure.
How can you stop it before it is too late? There are several options, some better for you than others but all keep you out of foreclosure and prevent you from messing up your credit the way a foreclosure will.
How can you stop foreclosure?   Special Forbearance               With this the mortgage company will temperately reduce or waive your payment due to special circumstances.
 This can be a medical problem, a temporary layoff, or a full lay off but you have found new employment but have yet to start.
 The up side for the bank is that you stay in your house and soon go back to paying the original loan.
   Mortgage Modification                         This is pretty straight forward.
 You go to the mortgage company with all the supporting paper work and try to get your mortgage modified to better suit your currant needs.
 The bank still gets their money, though a little slower than planned, and you keep your house, you just won't own it outright quite as fast.
A mortgage modification kit can help you with the paperwork.
   Partial Claim               In this course of action the FHA will come in and get your mortgage current, then you will begin making the full payment again while the FHA puts a lien on your house that must be paid when your mortgage is paid off or you sell your home.
 To qualify for this you must be at least 4 months in arrears but no more than 12 months but really, no bank is going to let you get 12 months behind.
     Deed in lieu of Foreclosure               This option is really only a little bit above a foreclosure.
 In it you sign over the deed to your house.
 While you do lose the house and take a hit on your credit, it is not as bad as a foreclosure that will follow you around for 7 years.
 It's not the best option you have, but it still beats foreclosure.
   As you can see, there are many option available to avoid foreclosure.
 The faster the home owner takes proactive measures the more options will be the for them.
 How you stop foreclosure is up to you.
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