Here are 4 steps you can take right now to escape foreclosure:

1. Talk to your bank when you first get behind. You want o put this behind you and not let this get out of hand. You want all of the stresses to go away, however, if you do not talk to the bank and be open to different options, the matter will only continue to get worse. I have seen people avoid the bank at all costs at first believing there will be this miracle to happen, only in the end to find out it is too late for them to do anything. I do believe in miracles. I do believe that you have to be proactive and looking for that miracle before it will be given to you. The longer you wait, the more the fees that you will incur. Attorney fees run around $1600 for the bank to conduct a foreclosure. If you wait to reinstate at the last minute, you are the one that has to pay for these fees.

2. Ask the bank for a forbearance agreement. This is an agreement to help you get caught up on the monthly payment. For example, if you were 4 months behind on your house payment, the bank may be willing to stop the process if you were to bring 2 months worth of payments in. Usually, the bank will require you to get your tax returns and fill out some paperwork to do this. If so, fill out the paperwork completely and get it back to them as soon as possible. If you are not sure about a question, call the representative that you are working with. Be responsible and take action. Bank representatives are only human, they are given 200 foreclosure files every month to try to resolve. So be patient with the person you are dealing. Do not scream or yell your frustrations, as this will only cause more problems for yourself. So be understanding, explain to them that you understand how hard their job is and this will create a bond with the person you are dealing with which is important because this will be the person that is going to bat for you when they talk about getting approvals with their boss. There are companies out there charging fees up front for doing this. Do not pay anyone up front to negotiate with the bank a forbearance agreement. The people that want the money up front will not make any guarantee while you are out $300-$400, this puts you taking all the risk for someone else to get the situation resolved. If you want to go this route, then hire someone that gets paid on performance after they have worked out a possible solution. Usually these consultants will work harder to get your situation resolved because their pay will depend on it.

3. Refinance you current loan or getting a 2nd mortgage. This is a very unlikely scenario, but I have seen it happen. Usually, if you are in foreclosure, there is only a slim chance to getting a refinance or another loan. You really have to look within to see if this is a real solution or if it just going to overload you even more. Imagine having another payment that you have to worry about plus all of your existing payments, how does it make you feel? Be sure to be real with yourself. Do not overestimate and say “well I am going to work more hours to pay for this” or “I am going to go get another job so that I can pay for it”. You have more to worry about than just your pride and your home. You may have a wife or a family that solely depends on you. If so, be real with yourself, ask for help and move on to get a fresh start. In addition, your health is also more important than any house or financial obligation could ever be. Do you have any idea what kind of impact these types of stresses have on your health? I can assure you it is not favorable. So, be real and be committed to getting the problem resolved for good. Look at the big picture instead of the short-term view.

4. Sell your home. I know sometimes this can be a tough decision, because you may have raised your family in the home or you may have inherited it. However, do not let the emotional attachment limit your options. For example, many people are so emotional about their home, they don’t even consider selling until it is to late. I do not want you to have to sell or to find another place, however if you are running out of options, then consider this one. If you are not selling because you feel that you have a lot of equity, the amount of equity that you truly have is getting lesser by the day. Why? Because, it takes an average home buyer a minimum of 30 days to close their loan. The average home in the United States will sit on the market for an average of 120 days. Which means, on average, it will take you nearly 6 months to sell a home and then when you sell you will not get the full amount. Then you have to pay attorney fees, realtor fees, title fees, taxes, and deed preparation fees, not to mention your regular monthly obligations that you have by having the house such as insurance, taxes, and your regular payments. Finally, if you are trying to sell your property, let the bank know that you have the property on the market to sell. If they know you are making an honest attempt to sell and get out from under the debt, while paying them off, they will be more willing to work with you. Even if you are not able to receive enough funds to pay the lien off, let the bank know, occasionally they will work around it. If you need help with this, then feel free to vist my website www.48hourclose.com and receive our Free Report on "How To Win The War Against your Lender & Stop Foreclosure!"

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