| The best way to get stop foreclosure mortgage help | | | | interest rate being reduced, changes the principal parts |
| is to discuss the situation with your lender before it is | | | | of the loan, it may well mean that the amortization is |
| too late. Today many lenders are willing to negotiate | | | | extended in order that the overall payment that a |
| payment plans which are outside the terms of the | | | | person is obliged to pay are reduced. But these types |
| original loan in order to help you get back on track. | | | | of changes may sometimes be difficult to achieve and |
| Certainly by using one of the methods we show | | | | then the use of a trained foreclosure negotiator may |
| below will help all parties to deal with a bad situation | | | | be required. |
| and stop it from getting any worse. | | | | 3. Setting up a repayment plan |
| 1. Short Pay/Short Refinance | | | | This is probably the easiest method for a homeowner |
| This is usually accomplished by the homeowner | | | | to understand and one which many lenders are likely |
| refinancing their property. So say for example you | | | | to accept. The homeowner will agree to pay an |
| owe $100,000 on your mortgage plus a further $15,000 | | | | additional sum on top of what they are currently |
| in legal and rearrange fees. Then what occurs is | | | | paying for their mortgage payments as a way of |
| someone negotiates that the loan be settled for | | | | paying of the amounts that are owing to the lender. |
| $80,000 and then a new loan is arranged for $85,000 | | | | Certainly this is the type of plan that most lenders |
| which then covers paying off the bank and all its | | | | prefer compared to the 2 that have been previously |
| associated fees with regards to the transaction. So | | | | described above. However there may be some |
| not only has the homeowner been able to avoid have | | | | additional costs that a homeowner will face when |
| their home foreclosed but they will also now find that | | | | using this method including rearrangement and legal |
| they have $30,000 less of debt to worry about. | | | | fees. |
| 2. Modify your Existing Mortgage | | | | Above we have looked at three methods of stop |
| All you do with this is talk to your lender (normally a | | | | foreclosure help but there are others which a |
| bank or mortgage company) and change the terms of | | | | homeowner may want to consider including deed in |
| the loan you have with them. In a lot of cases these | | | | lieu of foreclosure or short sale. |
| changes will only be temporary and may result in the | | | | |