There is nothing worse than receiving a notice of foreclosure from your lender. This means the bank is closing in on repossessing your home. While you are in a bad position, your home is not gone just yet.
You may still have time to stop the foreclosure process, allowing you to stay in your home. Before we go any further, there is one thing you need to remember: time is of the essence.
You cannot wait any longer to stop foreclosure. Instead, you have to move forward as quickly as possible if you want to give yourself the best chance of success.
Strategies to Consider to Stop Foreclosure
The way you stop foreclosure in Philadelphia may not be the same as the next person. What matters most is that you take the steps necessary to save your home, no matter what it takes.
1. Consider your options for putting a permanent end to foreclosure proceedings. This may sound like a far fetched dream, but there are steps you can take to make this happen. For example, you can negotiate with the lender to pay back any money you owe. If you can afford to pay in one lump sum, this is your best option. However, the bank may allow you to tack on the additional payments at the end of your loan. Tip: be open to any and all options offered by your lender. You are not in position to be picky.
2. File for bankruptcy. Although this will stop the foreclosure process for the time being, you are not going to get off easy. With Chapter 13 bankruptcy, for example, you are required to make back payments along with your regular monthly payment. If you don’t feel this will help, you may not want to move forward with a Chapter 13 Bankruptcy, although you may want to then consider a Chapter 7 Bankruptcy.
3. Consider a short sale. If you are interested in stopping foreclosure but not attached to your home, this could be the perfect option. When your home is worth less than what you owe, you could be a candidate for a short sale. This will ding your credit score, but not nearly as bad as foreclosure. With this, your lender is agreeing to let you sell your home for less than what it is worth.
These are three of the best ways to avoid or stop foreclosure in Philadelphia. If you have any questions on which strategy is best for you, contact an experienced attorney who can show you the way.