As much as we try to avoid disaster, it’s sometimes inevitable. One drag that most, if not all, homeowners who have bought foreclosures can relate to is having their home foreclosed.
Failure to make payments to a mortgage company or bank that owns the house you live in leads to it being sold at a foreclosure auction by the bank or company.
The good news is that it’s possible to get back foreclosed homes and this is how you should go about it.
- Take Advantage of Redemption Periods
If your house was foreclosed through an order from the court, you will get some time to redeem it. Use that time frame to pay back the unpaid loan in full, including all additional costs.
- Adjustments by Mortgage Lenders
The majority of mortgage lenders can’t stand the thought of having foreclosed homes in their real estate inventory.
A large number of them try to avoid this by trying to make some adjustments to the payment agreement, so the foreclosure doesn’t happen. Some of these adjustments are loan modifications, forbearance, and payments suspension.
- Catch Up on Your Payments
Perhaps you’ve been lagging on your mortgage payments. Striving to keep them up to date is a simple way to get back your home.
- File for Bankruptcy Protection
Homeowners can also get their foreclosed homes back by filing for bankruptcy protection. Ordinarily, a bankruptcy delays the foreclosure process for approximately three months.
Bankruptcy also provides a reorganization period to stop the process or update payment.
