If you’re a homeowner in Hurricane, West Virginia, you may be wondering what you can do to avoid foreclosure. With how inflation has been affecting households globally, it helps to be prepared before those dreaded notices come from your lender. Here are five things you can do to avoid foreclosure:
Know your mortgage terms and conditions
Homeownership is a major financial responsibility, and one of the most important steps in the process is understanding your mortgage terms and conditions.
Taking the time to discuss them with your lender or real estate agent in Hurricane will help reduce any confusion you may have about your loan type, payment plan, closing costs, rate of interest, and other components. Not only will this ensure that you are making an informed decision that works best for your budget and lifestyle, it can also safeguard you from potential financial problems down the road.
If you’re having trouble making payments, reach out
If you’re having difficulty, don’t struggle in silence or try to tackle the issue on your own. Reach out for help!
Financial difficulties can be daunting, but talking with an experienced professional can be a great way to get back on track and regain control of your finances. Working closely with an advisor will allow you to create a plan that works best for you and your specific financial situation, so you know all of your options. Don’t stress–there are resources available that can assist you with making payments and getting back on stable financial footing again.
Prioritize your mortgage payments
Making regular and on-time mortgage payments is one of the most important ways to maintain your financial health. Prioritizing your mortgage payments above other bills can help ease the stress associated with affording a home.
Keeping up with mortgage payments can strengthen your credit score and help you avoid costly penalties and fees. Plan for extra funds in your monthly budget to put toward your mortgage if possible, as this will help you stay ahead of potential downfalls like unexpected repairs or missing more than one payment.
Consider a loan modification
If you’re considering a loan modification, it’s important to understand the process and consequences of this financial decision.
What is a loan modification?
Generally, a loan modification involves reducing your monthly payments, extending the repayment period of your loan, or both. This is often done in order to help a borrower become current on their loan or to lower the amount they have to pay each month.
Beware of some repercussions
However, it’s important to be aware of the potential negative repercussions associated with taking out a loan modification—namely that it could lead to higher interest rates over time because of the extension of payment terms or your credit score taking a hit for appearing behind on payments.
Seek out assistance from HUD-approved housing counselors
HUD-approved housing counselors are an invaluable resource for struggling homeowners, providing counseling on many topics related to housing such as renting, buying, defaults and foreclosure prevention. Not only can a HUD-approved housing counselor help you understand your rights and responsibilities as a homeowner in Hurricane, but they can also assist you in developing a budget and finding the right home or apartment. With their expertise and knowledge of government programs that may be beneficial to those looking for affordable housing options, seek out assistance from these knowledgeable professionals who are just a phone call away.
Sell your home to us at Building Appalachia
No one wants to go through the foreclosure process, but sometimes it is unavoidable. If you find yourself in this situation, there are steps you can take to make the process as smooth as possible. The most important thing is to stay in communication with your lender and try to work out a payment plan that works for both of you. If that isn’t an option, consider talking to your lender about a loan modification or seeking assistance from HUD-approved housing counselors.
And finally, if all else fails and you have no choice but to sell your home, contact us at Building Appalachia. We buy homes as-is in Hurricane, West Virginia, and we guarantee that we can present you with a fair cash offer in just 24 hours! Contact our team today to see how we can help you get back on your feet.