The first thing you should do is talk to your home lender about what options you have as a homeowner who is behind on their payments.
- If your problem is temporary and you just need a little time then consider Reinstatement. Agree with the loaner to pay off all past due amounts by a certain date that both of you agreed upon.
- Change the terms of the loan such as a lower interest rate. This will make your payments more manageable.
- Ask your loaner if you can suspend payments till a later date at which time you will pay a lump sum and begin your payments again.
- Of course you could sell your house, right now that might not be a viable option but it is one to consider.
- Nobody wants to go into bankruptcy but if all else has failed you may have no choice. There are severe consequences, but it will be a fresh start.
Just keep in mind that the bank wants you to keep your house. They don’t want to be in the real estate business.
