“Help! I’m behind in my mortgage payments.” We know how you’re feeling right now. When you say you’re “behind in my mortgage payments” on your New Britain home, it can feel like you’re drowning in debt.
Borrowers fall behind on their payments for a variety of reasons. Sudden job loss, a medical emergency, or a change in marital status are just a few of the situations that may cause financial difficulty. You’re not alone, and if you don’t seek help, regaining control of your money will be much more difficult.
Even if you’re able to make your monthly payment, catching up on a past due balance can be an overwhelming challenge.
There are a few options that can help you to avoid foreclosure in New Britain and maybe even keep your house, even if you’re seriously behind in payments. Lots of properties in New Britain have been lost to foreclosure, but there are many ways to avoid it.
Help, I’m Behind in My Mortgage Payments in New Britain! 5 Things You Can Do To Help Your Situation
1. Bankruptcy:
Bankruptcy is typically considered as a last-resort option, particularly when one finds themselves burdened by overwhelming debt. It can serve as an effective means to negotiate with multiple lenders simultaneously. However, it’s important to note that declaring bankruptcy requires a substantial amount of effort and does not exempt you from your mortgage obligations. The manner in which different lenders respond to your circumstances may vary. Consequently, seeking comprehensive professional assistance, ideally to the extent of your financial capacity, is highly advisable in order to navigate the complexities associated with bankruptcy effectively.
2. Reaffirm:
This particular card you have at hand holds promising potential, though it should be noted that there could be unforeseen repercussions attached. Essentially, when you reaffirm a loan, you are taking on an extra level of obligation to fulfill your payment responsibilities. It is worth mentioning that in certain states where such actions are permitted, affirming a loan can result in additional liabilities if your property is eventually auctioned off. Therefore, it is essential to thoroughly consider the potential consequences before proceeding with this course of action.
3. Making Home Affordable (MFA):
If your mortgage qualifies, you might be able to participate in MHA. Any loans backed by Fannie Mae or Freddie Mac must be considered for MHA, and other lenders choose to participate in MFA.
With MFA, your payments and/or interest rates might be lowered – even the principal balance (if your home is worth less than you owe). If you’re unemployed, you might be able to get your payments temporarily suspended or reduced.
MFA is a government program, so be prepared to deal with lots of paperwork. It ain’t free money – you gotta work for it.
4. Negotiate with your bank:
Lots of lenders routinely offer some level of assistance. You have to work hard at it, but you might be able to get your interest rate reduced or a temporary reduction in your payment.
Most of the time, lenders will want to steer you to refinance your loan – but by the time you’re a few payments behind, you probably don’t qualify for a reduction in interest rate.
You have to work really hard to negotiate with a bank. Usually, it takes lots of calls and the patience of a saint to get through the bureaucracy. Never, ever act rude. Ask for help from everyone you speak with, but don’t sound desperate. Explain your situation, offer supporting documents, and reassure the bank that you want to live in your home for the long term.
If you’re in need of a temporary fix and want to stay in your home, most banks can be forgiving. Sometimes they’ll be willing to add a few months of payments back onto the primary balance of your loan. It’s all dollars and cents to them, so remind them that you need their help to give them a lot more money in the long run. If they have to sell your house at a foreclosure auction, they’ll take a huge loss.
That sounds obvious, but for some reason, bankers seem to forget it when saying no to someone in need of help.
5. Borrow money from a private investor:
If none of the above-mentioned options worked for you, there’s always light at the end of the tunnel. If you’re behind on your payments and need to sell fast, we can help.
In certain circumstances, we may even be able to help you stay in your home.
We work with homeowners in New Britain to find solutions to foreclosure problems.
We’ll let you know how we can help.