Stop Foreclosure Tips and Options

Here are Three Stop Home Forclosure Options:

There are several options a home owner may take to stop foreclosure.  Below we list three stop foreclosure options that may help you if you are currently facing foreclosure. 

Choosing which option will work for you, depends on your current situation:

- Special Forebearance
- Mortgage Loan Modification Option
- Particial Claim

Special Forebearance Option to Stop Foreclosure:

The Special Forebearance Option is where your mortgage lender could arrange a new repayment plan based on your current financial status.

In addition, your lender could allow a reduction of your monthly mortgage payment, or even suspend the payment for a few months (adding on to the time to pay for the full mortgage).

Usual Qualifications Required For Special Forebearance:?

You could qualify for special foreberance to stop foreclosure if you have had a sudden loss of income due to an injury or loss of job, or even a high increase in living expenses.

Your lender will usually require you to provide proof to show your income hardship situation, or you may also be required to write a Hardship Letter to Stop Foreclosure.

Documented proof may be required by your mortgage lender that shows you can now make the new mortgage payment, if a new repayment plan is setup.

Mortgage Loan Modification Option to Stop Foreclosure:

With a mortgage loan modification option you may be able to refinance your current mortgage at a lower rate and / or add years onto your mortgage loan term. If you use a mortgage loan modification to stop foreclosure, you could also lower your monthly mortgage payment so that it is more affordable.

Would You Qualify for a Mortgage Loan Modification?

A mortgage loan modification may be a choice for you if you have just recovered from an unusual income hardship. To qualify for a mortgage loan modification you will need to be able to afford the new loan payments.

Partial Claim Option to Stop Foreclosure:

With a partial claim option to stop foreclosure, your lender could apply for a payment from the FHA Insurance fund, US Department of Housing and Urban Development - HUD on your behalf. The amount would equal the total funds required to bring your loan payments current.

Partial Claim Qualifications Require:?

You may qualify for a partial claim if your mortgage payments are at least 4 months past due, yet are not more than 12 months past due. You would also have to be able to prove that you can pay your mortgage payments from this point forward.

The partial claim to stop foreclosure will require you to sign a promissory note for the amount required to bring your loan up to date.And, a property lien will be added to your property, until the promissory note is paid. The promissory note to HUD is interest free, and must be paid when you pay off the first mortgage, or when you sell the property.

The above information regarding stop foreclosure options are an example of many options that may be available. You can learn about many more options if you visit the free information site: Stop Foreclosure Tips.