what to do if you can't make payments on you mortgage?

Question

Please, help, what to do if you can't make payments on your mortgage?

Answer 1

If the cash shortfall is temporary, call the mortgage company and work out a plan.

If you don't think that you can afford your house at all any longer, sell it before your credit is ruined.

Answer 2

1. Talk to your lender *before* you get into trouble.

If you think it's likely you won't be able to pay over several months, see if you can talk your lender into taking back your house without it ruining your credit.

If not.

2. See if you can sell your house in a reasonable period. The only problem is lots of other people are in the same boat, and there may be a problem finding someone quickly.
3. See about talking to one of these organizations that buys houses no matter what your conditions are.

In either case, you're bound to end up losing some money, and maybe owing something besides. If you do have some equity you might not do too badly but there is always the possibility of things not going right.

Answer 3

The lender doesn't want to have to foreclose. Speak to them as soon as possible to discuss options. If they don't have a financial adviser available, you should be able to find one through other sources (Citizens Advice Bureau and many Housing Associations and credit unions in the UK).

Financial advice can help you understand the bigger picture, where you can cut expenditures etc. That will put you in a better position to make the right choices to help yourself through this.

Answer 4

Cut spending everywhere you can to make the payments.

If you are not making payments, eventually the lender will proceed with foreclosure.

Answer 5

Contact your lender right away and see what kind of programs they have that can help you catch up. If you don't tell them what's going on, they will have to assume the worst.