There is often a lot of incorrect information on foreclosures. It is critical for current and future home owners to separate fact from fiction. This article offers Southern NH foreclosure facts and guidance for property owners.
You Must Be Behind to Receive Assistance
Home owners can request loan modification and other help prior to missing any mortgage payments. These services evaluate your finances to determine eligibility.
There Are No Alternatives After the Foreclosure Notice Is Generated
Lenders would rather avoid foreclosure. Even if foreclosure proceedings start, mortgage companies may still find a way to prevent foreclosure. Short sales are also possible before a finalized foreclosure. They consist of having a buyer for your property and asking the mortgage company to approve a sale for lower than what is owed.
You Must Move Out Right After the Foreclosure Notice
The foreclosure notice is merely the first step in a lengthy process and it normally is issued when you have skipped several payments. It can take several months for a mortgage company to get through the necessary process to ultimately evict you from a property. Even though you do not need to immediately leave your property, you should start preparing for it.
I Will Never Get Approved for Another Loan
Even though a foreclosure impacts future lenders and severely reduces your credit score, you might still be able to buy real estate in the future. Use that time to elevate your credit rating. Also anticipate a larger down payment percentage and higher interest rate. This is how creditors will minimize the risk of granting you another mortgage.
The Bank Seizes All of My Property
Household Goods, clothing, and other personal belongings are still yours. Only items affixed to the home must remain. Examples are flooring, hardware, and plumbing. Think about what you would normally leave behind when selling a home and use that as a general guideline.
There Is No Financial Impact of Foreclosure
A lender may not get back what they are owed when a property sells after foreclosure. You are legally responsible for that deficiency. There may be ways for the mortgage company to "charge-off" that amount. Speak to a local attorney for a list of options.
Southern NH Foreclosure Facts And Guidance For Property Owners
The above are just a few common foreclosure myths. There are state-specific variations as well. This blog on Southern NH foreclosure facts and guidance for property owners is only a general introduction and should not be considered legal advice. Be sure to receive legal guidance if you are in danger of foreclosure, and consider getting help prior to missing any payments.