How to Stop Foreclosure & Eviction

All across the country, homes are being foreclosed upon and people are evicted due to non-payment of their mortgage or rental payments. Although your first instinct may be to run and hide from your bills in order to avoid the consequences, this is not the way to stop foreclosure and eviction from your home or property.

Instructions

How to Stop Foreclosure and Eviction

1

Contact your lender or landlord. Do not put this off. Immediately contact your lender as soon as you realize you cannot make a payment on time. Do not wait until the second or third missed payment to get in touch with your lender or landlord. If you are already 2 or 3 months behind, it is even more important that you contact your lender immediately.

2

Apply for an FDIC loan. You can apply for a loan from the federal loan modification program. It will figure out your debt-to-income ratio and will base your future payments on that amount.

3

Apply for the Making Home Affordable program. This program will determine whether you are eligible for a government loan that will help you save your home.

4

Request a partial claim. Ask your mortgage lender if you can get an insurance payment from the Federal Housing Administration to make your mortgage payments current. According to the U.S. Department of Housing and Urban Development, this option is available if you issue a Promissory note to the lender stating that you will pay the amount in full on a specified date.

5

Ask for a forebearance. If you suffered from a loss of job or income you may qualify for a deferment of normal payment amounts owed to your lender. Ask your lender if you can have the amount of the loan reduced or deferred until your situation changes.

6

Consider foreclosure and eviction options. Think outside the box. Some things you can do to manage finances that will help you pay mortgage or rental payments are to take a personal loan to pay the mortgage or rent on the home. Another option is to rent out a room to a tenant, if possible, to help defer mortgage or rental costs. You might also decrease other expenses in order to add more money to mortgage payments. Finally, you can get a second job to help pay the mortgage whenever possible. In the meantime, however, do not wait. Contact your mortgage lender or landlord to work out arrangements that will allow you to stay in your home and stop foreclosure and eviction.