The process of foreclosure is different for each state. In Alabama lenders can choose either the Judicial or Nonjudicial process. Most choose the latter. In either case, our hope is that we can help you avoid foreclosure altogether.
Never waste time if you’re facing foreclosure. Spend some quality time reading all the letters and emails your lender sent you to clearly see where you are at in the process. Make sure you understand your mortgage documents so that you will know what to do if you miss your payments.
If you are just now receiving notices for non-payments, the foreclosure has likely not begun, but you always want to make sure you know what’s going on. There may be some time to take action.
However, if you ignore the legal action letters coming your way, there’s no excuse in the world that can help you once it reaches the court-of-law.
You might still have time to fix the situation and avoid foreclosure on your credit report.
Work With The Government
Don’t hesitate to contact your local government in Montgomery, AL if you have questions about the foreclosure that you’re currently dealing with. Once you learn about the time frame and the steps of foreclosure, you can then compare that with the letters or emails from your lender, this will determine when and how fast you need to take action to secure your exit strategy.
The Federal Government Housing and Urban Development has plenty of programs that can help. Most of these programs are determined by the value of your property versus how much is left on the loan. The HUD also has available counseling options to help you understand more about your financial situation and what options are best suited to get you out of foreclosure.
Another way to get you out of lender or bank foreclosure is to understand your personal finances. Create a budget plan that accounts for all your basic needs like utilities, food and other mortgage payments.
Avoid purchasing unnecessary items or services. Be thrifty. Downgrade to a cheaper phone plan. Avoid eating out.
Find other sources of income like another job, or look for good-paying odd jobs on social market boards or other social listing sites in your area. You might also want to sell off your furniture or other high value items to make some extra cash.
These are the best options for those who are in challenging financial situations and are expecting to be able to make mortgage payments in the next few months.
Rent It Out
Another great way to avoid foreclosure is to rent out your home to someone else because the rent payment can cover the mortgage and insurance payment.
You will, though, need to find a cheaper place to live.
Other people allow for a roommate to share the house, and depending on the amount of mortgage payment, they will be able to help out and make it affordable and fit better in your budget. You can also host people on a temporary basis. Airbnb is also an option for generating extra income.
The downside to this is that it may give you more headaches from irresponsible renters and the potential damage to your property.
The simplest way to avoid foreclosure is to sell the property. Investors like US Direct Home Buyers are there when people avoiding foreclosure sell their home. Often we can buy your house quickly and you no longer have to deal with the bank. We are familiar with the many options in dealing with the banks. The main thing is that you no longer have to worry about foreclosure, and we can usually help your credit score.