Arn Cenedella

Homeowners in trouble with their mortgage (Part 1)

If you are having trouble making mortgage payments or if you owe more than your home is worth, there is help available for you. Do not just put your head in the sand and hope something good will happen.

Generally a homeowner in distress has 5 options:
Loan workout or modifcation
Deed in lieu of foreclosure
Short sale
Bankruptcy
Foreclosure

Each of these options have serious legal, credit, and taxation ramifications. Before choosing any option be sure to consult with competent legal and tax advisors. Real Estate agents can help guide you through the process but are not qualified to answer specific legal and tax questions.

Here is a list of useful links to government and community based nonprofit organization
websites which include information on foreclosure prevention, loan modification, no cost HUD approved counseling services and other important information.

U.S. Department of Housing and Urban Development
http://www.hud.gov

U.S. Department of Housing and Urban Development
Guide to Avoiding Foreclosure
http://www.hud.gov/foreclosure/index.cfm
*Talk to a counselor

Federal Housing Administration
http://www.fha.gov

Hope Now
http://www.hopenow.gov

Internal Revenue Service
http://www.irs.gov

Search for: Mortgage Debt Relief Bill
Click on: Home Foreclosure Debt Cancellation

Click here for a list of NO COST HUD counselors

So get help if you need it. Try to make the best of a bad situation.

Get a team together to help you – attorney, CPA, and knowledgeable real estate agent.

They can help you conisder all your options and assist you in making the best decision.

This entry was posted on Monday, February 9th, 2009 at 7:57 pm and is filed under Credit Information, Foreclosures, Helpful Sites, Pending Legislation, Real Estate Finance, Short Sales. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

1. CA Senate Bill 1137 slows down the foreclosure process | San Francisco Peninsula Real Estate said at February 10th, 2009 at 10:12 am

   [...] Homeowners in trouble with their mortgage (Part 1) [...]

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