I have fallen behind on my mortgage 3 months due to pregnancy complications now I might be in pre foreclosure.

Question

what can i do not to lose my home.?

Answer 1

Your best bet is to contact the lender ASAP and be very candid with them regarding your current situation. Try and work out a forebearance agreement with them. Unless you have a ton of equity in your home they do not want to foreclose because they always lose money. You should have called them after the first month because they usually start foreclosure proceedings after 90 days. Just tell them you were scared and did not understand the process. Also, dont take any BS from some $8.00 clerk/collection asshole, request to speak to a supervisor, dont lose your cool, cry a little if you can. If they refuse to work with you, haul *** ASAP to the nearest Bankruptcy lawyer and file a Chapt. 13, that will stop all foreclosure action immediately. Good Luck

Answer 2

The first thing is to find out what, if any, government protections you have. Is the loan a FHA, VA loan? Or is it a Freddie Mac, Fannie Mae loan? Or normal conventional loan? Look at your mortgage or deed of trust (you should have a copy these documents in your HUD-1 package from the title attorney). Did you have Private Mortgage Insurance?

Then request the following from the lender.
1. Reinstatement amount;
2. Payoff amount;
3. The loan history.

Next what type of foreclosure laws cover your state? Is it a title theory state or deed of trust state. Mortgage state foreclosure laws (where the bank has to go to state court) are prevalent in the east and midwest. Deed of trust states are in the West and the South. This is important because couple with the type of loan FHA, VA, conventional will determine when foreclosure can occur. Foreclosures are up 50% from a year ago nationwide and banks will do a WORK-OUT (formal term for stopping a foreclosure) but it depends on these two questions;

1. What is the reason for you not making payments as agreed?
2. Will the situation get better.

Pregnacy and reduced income is a valid reason. Now the question is can you afford the house now? Most Loss Mitigation departments (you don't want to deal with collections) will ask for a repay plan first. But these are rarely good for homeowner unless you have a windfall of cash. For example, a repayment plan of mortgage of $1,000 a month may be dividing the total amount owed (reinstatement amount) by 6 and increasing monthly payment until you are caught up. Can you do this? If not, then you may need a loan modification. Where payments are lowered to meet your reduced income. Finally you can get a forbearance. Maybe no payments until birth of child and you are back at work. See the Homeowners Guide to Foreclosure (out of print but available in libraries) to go in greater detail or contact me here as I specialize in work-outs for homeowners like yourself. But much depends on the answers to questions listed above.

Good luck

Answer 3

I agree with the others. You should definitely contact the lender. Given the current state of the real estate market most lenders are having to deal with a large amount of foreclosures and short sales so I would think that they would be more than happy to deal with you since you are not at that stage yet and can, perhaps, avoid it. If you want to stay in your home then you should probably continue to make payments and work something out with the lender regarding the three that you missed. As another poster mentioned, you can try to get a forbearance agreement with your lender. With a forbearance the lender will agree to either lower or eliminate your monthly payment for some period of time while you recover financially. You may also be able to convince the lender to modify your loan by permanently lowering your payments or adding the amount you are behind onto the back end of your mortgage. This may cause your loan balance to go up but may also give you time to recover and will not cause your payment to go up much. I'm sure the lenders loss mitigation department will be able to come up with something. If not, then consider refinancing. Having just started a new job that is probably unlikely. You may also consider selling your home. If you owe more than your home is worth then pursue a short sale. As I've mentioned there are other options to just letting your home go into foreclosure. A foreclosure can cost you 200-280 points on your credit score and can stay on your credit report for up to 10 years. You certainly don't want to have to deal with that. So, try and contact the lender and see what you can work out. I'm sure something can be done. Good Luck!

Answer 4

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RE I have fallen behind on my mortgage 3 months due to pregnancy complications now I might be in pre foreclosure.

what can i do not to lose my home.?

Answer 5

Contact a debt specialist, or a credit counselor about possible avenues around this problem. Try calling your mortgage company to work out a payment plan, or to see if your mortgage has any type of Deferrment policy for disability or medical problems (some mortgages have a clause relating to this, yours might, too).

If nothing else works, just keep your head up and I hope everything works out for you.

Answer 6

i agree with the comment above. when you call the bank or mortgage company, remember to demonstrate your ability to pay the past-due and up-coming mortgage. for example, you can show them you have a solid job, and perhaps someone with strong financial background who can help you out financially. three months behind is not too bad; i have seen much worst(much behind) and bank hasn't foreclose their houses yet. however, you always have to be ready to sell your house if you really can't pay the mortgage. losing your house is better then being bankrupt. don't hang on to it if you really can't.
good luck!

Answer 7

Call the bank or mortgage company & see if they will work out a deal with you to help you out. I believe they would rather receive their money then have it foreclose.

Answer 8

Definitely call the people that you owe money to, because they will work with you. I'm sure this isn't the first time they have heard this kind of situation. So don't be scared, explain to them your situation and then ask them what your options are. Good luck to you.

Answer 9

Credit counseling or bankruptcy chapter 13 payback