Foreclosures: 9 Options available to you!

1. Renegotiate: A) Forbearance Agreement – You must have a job and 3% equity in your home.
B) Loan Modification – Unpaid payments and late fees are tacked on to the end of the loan. You must have a job and 3% equity in your home.

2. Refinance: IF 90 days in arrears, it is very difficult. Reads next to impossible!

3. FISBO/Investor: Investor needs at least 30% discount off current market value of property.

4. Declares Bankruptcy: 95% of homeowners who declare BK still lose their home through foreclosure! Then you have BOTH foreclosure and bankruptcy on your credit record. Additionally, 2-4 years after discharge before you will be able to buy a new home.

5. Friends/Family/Lotto: It could happen! Most friends and family members aren't interested in helping out at this point.

6. Deed in Lieu of Foreclosure: Still shows up as foreclosure on credit reports. (Just no judgment. Quick results for the lender.)

7. Do Nothing: Not a good option! Foreclosure means you will have 5-7 years before you can buy a home through conventional lenders.

8. Lease Option with Buy Back: Investor buys at 30% discount. (Short Sale) You lease property back from Investor.

9. List property for sale with RE Broker: Can prevent Deficiency Judgment.

Deficiency Judgment: Lender can come after you. Short Sale can come after you too. (Anything but Term Life Insurance.) Lender can go after your IRA’s, 401K’s etc.