Have the payments on your adjustable-rate mortgage loan increased to a point you can’t afford to make the payment?
Loan experts offer the following tips to maximize your chances of keeping your house:
- Don’t delay. Act before you miss a payment. Don’t wait until your bank initiates the foreclosure process with a notice of trustee sale. Working out a deal with your bank can take months. Notify your lender as soon as you know your trouble.
- Consult with the loan officer who originated your loan. With the housing market the way it is, many loan officers have moved on to other industries. See if your original loan officer is still in business. He or she might be able to provide some assistance in getting your loan adjusted.
- Have your financial situation written down. Your banks will ask you questions about your income and expenses. Don’t guess and sound like you have no idea. Itemize your complete financial picture, everything from credit card debt, utility bills and car payments. You must prove financial hardship to get a loan workout.
- Talk to HUD. HUD has free approved foreclose intervention specialist set-up in most states. They know how lenders work and they won’t let emotions get in the way.
- Help from a lawyer. Some banks and lenders pay more attention to requests that come from a lawyer. Ask a lawyer to send your mortgage lender a workout request on their letterhead.
- Stay on it! If your mortgage company tells you to call back after you miss a payment, don’t give up. Mortgage lenders are very busy right now and past-due accounts are getting first priority. If the employee you speak to isn’t helpful, call back and keep calling back until you get someone that can help. Don’t give up.