Many homeowners are struggling to keep their homes these days; some are scrimping and saving to continue with their mortgage payments while others are fighting a losing battle and can no longer afford to pay their monthly payment. Regardless of the individual struggle at hand, it is easy to see that many homeowners are in dire need of some help to keep them in their homes.
When you have an event happens in your life that is likely to get you behind on your mortgage payments the first thing that you need to do is to contact your mortgage lender. Be proactive; the more that you try to avoid dealing with the problem, the worse it will be. Keep the lines of communication open between you and your lender during the entire process so that you are sure to have all the facts at all times.
To free up some funds, cut your spending wherever possible so that you are spending less money on things that aren’t necessary. The less money that you waste on things that you “want”, the more that you can put into the things that you “need”—like shelter.
The next step that you need to look into is arranging for housing counseling through the US Department of Housing and Urban Development. Counseling is available through them at a very reasonable cost and can drastically increase your chances of finding a solution to the problem and avoiding a foreclosure. Don’t pay a foreclosure prevention company to help you negotiate with your lender; the counseling available through HUD can help you negotiate with your lender for a very small price. Also avoid any business that contacts you as a foreclosure avoidance company who offers to help you keep your house if you pay them a large sum or require you to sign your home over to them “temporarily” to avoid foreclosure.
Don’t be afraid of asking for help if you and your family are struggling to make ends meet and keep your mortgage paid up to date; there are programs out there to help families who are having a hard time keeping up with their payments that greatly increase your chances of working your problems out so that you can stay in your home. Get involved with finding a solution to the problem as soon as you think there might be an issue with your ability to keep on top of your payments to keep your credit in good shape.