Foreclosure can be one of the most difficult and stressful situations to go through as a homeowner. Failing to make your mortgage payments can be difficult to discuss with others, and letters or calls from your lender may be intimidating; however, taking steps to solve your mortgage issues is very important.
Here are a few ways that you can work toward resolving your payment troubles before foreclosure is the only option.
1. Don’t Ignore the Issue
If you know that you are struggling to keep up with your mortgage payments, it can be very difficult to talk to someone about it or open those letter from your lender. It’s very important that you take on your troubles sooner rather than later in order for the best chance at a positive outcome.
Before your credit takes a very hard hit, talk with your lender about your payments. They can help you figure out a plan moving forward and even provide resources and other options.
Take matters into your own hands, and investigate your options. Learning all that you can about your situation will help you prepare for what’s ahead and show ways that you can actively work to better your financial situation.The U.S. Department of Housing and Urban Development (HUD) is a great place to start.
3. Cut Spending
Take a long look at your budget, and find areas where you can cut spending. Cable TV and going out to dinner are great places to start, and you’d be surprised how much you can save each month. These actions also show your lender that you are committed to keeping your home.
4. Speak with a Counselor
HUD also funds housing counseling around the nation. These counselors are trained to help you understand the laws surrounding foreclosure and your options for the future. Find a counselor near you here.
Did you know that CNE is a HUD approved foreclosure counselor in Chattanooga? If you are facing foreclosure and aren’t sure of your options, schedule an appointment with one of our skilled counselors and take a look at some of the programs that can help.