The prospect of foreclosure can leave any homeowner feeling overwhelmed, anxious, afraid, and unsure of where to turn next, but as we repeatedly tell our clients, you always have options – and you can and should fight to keep your home. After all, if you do nothing, you’re almost sure to lose it to foreclosure. But put up a strong fight? You might be surprised by just how good of an outcome you can achieve.
Whether you want to fight to keep your property or choose to sell it, put yourself in the driver’s seat with one of these foreclosure defense strategies. At Silverberg|Brito, PLLC, we’ll work with you to confidentially discuss your best path forward, which may include one of more of the following strategies if you find yourself facing the possibility of a foreclosure.
What to Do If You Want to Keep your Property
Staying in your home is often the preferred path for many homeowners, and if you want to, you have options, including:
- Fight the Foreclosure – Get in touch with us right away and prepare to fight the foreclosure. Now that the moratorium on evictions and foreclosures has ended in Florida, the Courts will be overwhelmed with foreclosures. Additionally, during the process, you can continue to live in or rent the property without making payments to the bank.
- Seek a loan modification – Banks that fear a difficult foreclosure may agree to changes to rewrite your loan, including reducing the principal amount owed on the loan, converting the loan type, offering reductions in the interest rate, or other alternative arrangements that may be negotiated.
- Seek forbearance – Many lenders will agree to delay foreclosure proceedings, and some will agree to cancel sale dates, which will allow you more time to decide on your defense strategy.
What to Do If You Don’t Want to Keep your Property
Foreclosures stay with you long after the process is done, and one of the biggest impacts is the resultant hit a foreclosure has on your credit. One way to minimize the impact on your credit and avoid the full economic hardship of a foreclosure may be to sell the property.
If you choose to short sale the property a bank can agree to accept less than the total amount owed on the loan to release the mortgage, but the borrower needs to find an investor or buyer willing to make a reasonable offer to the bank. Depending on the lender, some borrowers could have their debt forgiven if the short sale closes. For more on what to know if you are considering selling your property during foreclosure, be sure to read this post.
Foreclosures can be lengthy processes, which means you have time to set up a strong defense – and for that, we’re here to help. If you have any questions about the foreclosure process, please don’t hesitate to get in touch with us a Silverberg|Brito, PLLC to discuss your options.