Avoid Foreclosure - Save Your Kokomo Home!

Are you (or someone you know) facing foreclosure? Believe it or not, the lender doesn't want your house or any other house in Kokomo!

Not too long ago, foreclosure was the only alternative for homeowners having trouble making payments on their mortage. But things have changed!

In many parts of the country, including Kokomo and Howard County, there is an "epidemic" of foreclosures. Some of the largest mortgage lenders in the country have closed their doors. Some have been "bailed" out by other lenders. All of them are pulling in the reins when it comes to home loans. All of this because of foreclosures.

What that means to you if you are in financial trouble, is that these very banks that once turned a "deaf ear" to homeowners are now listening and often times offering alternatives to foreclosure. As I said before, they don't want your house. They are in the business of lending money, not taking houses back and selling them!

Here are some possible alternatives to foreclosure:

1. Refinance - If you are current on your payments and have good credit you may be able to refinance your home.
2. Sell the Property
3. Loan Modification - If you had a problem with making payments but are now "back on your feet" and can begin making payments again, the lender may be willing to add the past due amount to the loan balance.
4. Repayment Plan - This is similar to modification in that you had a problem and you can now make payments; but you lender may work out a plan for you to make installment payments on the past due amount in addition to your regular monthly payment.
5. Short Sale - If your house would sell at "fair market value" for less than you owe, the lender may accept less than full payment of what you owe.
6. Deed in Lieu of Foreclosure - If you have tried to sell your home at "fair market value" for at least 90 days but you haven't received any offers, your lender may allow you to deed the house to them to avoid foreclosure.

The number one thing you need to do when you face problems with your home loan is to call your lender. Call your lender before you are late with your payments. As I said before, they will listen to you and often work with you to keep your home.

A couple of warnings here...

• Be very careful if you refinance. You want out of your current situation. You don't want to get yourself in deeper than you already are.
• If you decide to sell your house, make sure the agent you hire knows about your financial situation. You want an agent who knows how to guide you through all the steps involved to avoid foreclosure.

If neither refinancing nor selling your house is an option you want to consider, the State of Indiana and the Indiana Housing and Community Development Authority have set up a toll free hotline and website to help Hoosiers who are behind in their mortgage payments. The campaign is called "Don't Let the Walls Foreclosure in on You." The toll free hotline is 1-877-GET-HOPE.

Locally, having been trained in foreclosure intervention strategies, I can assist you through the maze of talking to your lender and determining your options. Please, if I can answer any questions or help you get pointed in the right direction, don't hesitate to call me: 1-765-513-0354