You Need Your Home – Your Home Needs You

Many people are unable to make their mortgage payments these days to no fault of their own. Some are experience a loss of job, health spouse or higher mortgage rates, property taxes, home owner dues.
There is little sense in having people without a home and a home without their owner and someone to take care of it. What can you do? Please Read the following options:

  1. Contact your lender and ask for the work out dept.
  2. Consult with a Bankruptcy attorney.
  3. Consult with a real estate attorney
  4. Visit the following web sites and get educated:
  5. Have an attorney answer your summons and this will buy you time.
  6. Try to do a Deed in Lieu of foreclosure with the lender.
  7. Attempt a short sale.
  8. Buy enough time until the market comes back and then sell the home.
  9. Keep in mind with a short sale the mortgage debt relief act will help you if the home you sold in a short sale was your homestead.

Here is a list of things you should think twice about:

  1. Dipping into your retirement funds.
  2. Dipping into protected college education funds
  3. When you begin to take cash advances or do balance transfers to make ends meet this is an indication it is time to seek professional advice. Robbing Peter to pay Paul is a slippery slope.

Some of the things you want to consider in deciding whether or not to keep your home are:

  • Where do I want to be in 2 years, 5 years, and 10 years?
  • Is my mortgage fixed or adjustable?  If adjustable when will it adjust and how much?
  • Is my home in a desirable neighborhood that will prosper with time?
  • What are the property taxes on my home?  Will they increase?
  • If I fall behind in payments, will I be able to catch up in a month or two?

Most people today are in homes that have little or no equity. By answering a summons the person can stay in the home for quite a while and then save up for first, last months rent and security deposit. Turning on utilities at a new location is expensive. Moving is expensive. This time allows you the opportunity to take care of the home, plan ahead and save money.
When you do find a place to rent let me know who the landlord is and I can look to see if the property is in foreclosure. These are all things to consider when you are behind on your Mortgage payments.

Sherry Ellis Law, PLLC