Here's What to Do When Your House is in Foreclosure

If you're in the middle of a foreclosure, there are some steps that you can take to help get your home back. Foreclosure is a scary and stressful time for most homeowners. But there are things that you can do right now if you find yourself in foreclosure (or even if your house has already been foreclosed). We've compiled all the best tips and tricks in one place so that no matter what stage of foreclosure you're at, we'll have something helpful for you!

Get all facts before making a decision

When your house is in foreclosure, it can be easy to make an emotional decision about what you should do. You must get all of the facts before choosing because if you choose the wrong path, it could end up costing more than just money. 

For example, when your home goes into foreclosure and becomes bank property - which will happen eventually even if they give you another chance or change their mind at some point down the road (which does not always happen) - this means that anyone who wants to buy it from them must go through several steps regarding any liens on the property first. If there are any judgments against you for unpaid credit cards or medical bills for instance,  and there often are, and you don't come up with the money to pay them off, then those creditors will have first dibs on your home if it goes into foreclosure. You may want to sell a house fast in foreclosure, but no one else will be able to buy it until those judgments are satisfied. The best way to avoid this is by getting out of debt now and staying that way.

If you think your foreclosure is inevitable, then start with what you can control right now; make sure all bills are paid on time every month so the creditors or lenders don't report any late payments against you. Keep in mind though that even if they haven't reported anything yet, they could still do it at some point down the road (they have up to 30 days from when payment is due).

What you can do to avoid foreclosure

If you're having trouble making monthly payments, it's important to let your creditors know right away and see if they can work something out with you. Most lenders understand that unexpected life events like job loss or medical bills can throw off anyone's finances. Even though these things may be tough for us, imagine how hard it is for people who are dealing with foreclosure because of our mistakes.

A refinance option might be able to lower the interest rate on your home loan (or even change payment terms) so that you'll have an easier time paying back what you owe each month, especially if rates are currently low compared to when you first got financing on your house years ago.

You could also consider selling your home and moving to a different house or apartment. This might sound like an easy fix, but it's not! Selling the house will mean giving up on years of equity you've built in your property as well as all those memories made there with family and friends over time—which is why this option should only be used if you can't find another way out of foreclosure within six months. But even then, some lenders may require evidence that you have exhausted other options before they agree to let someone buy your place from them at less than what you owe for it today (in which case, sorry!).

How to protect your property

If you've received a foreclosure notice, go to court and file an answer with the clerk of court. If you do not, your house may be sold at a foreclosure sale without further notice. Once filed, the judge will schedule another hearing after which he or she rules on whether you should stay in your home until the case is resolved by trial or settlement. You should receive written notification about this hearing from either yourself as plaintiff (so long as you have complied with filing) or through service if there has been no such filing made on your part, by which you will receive further instructions.

What if you can't pay your mortgage?

If you are unable to pay your mortgage then it is important that you contact the lender immediately. You should also speak to an attorney if possible, who can help protect your home and advise on what to do next. It may be beneficial for homeowners in foreclosure proceedings to seek assistance from HUD-approved housing counseling agencies which provide free or fee-based advice about options available for preventing foreclosures as well as other financial services, including managing household budgets, credit issues, and much more. Some of these lenders will allow homeowners time until they find employment again so there is no need to rush into anything right away before getting all the facts first hand through professionals who have experience with this matter themselves.

The most important thing for any homeowner to remember through all of this is that you have rights and remedies when facing this difficult time, which need to be explored fully before taking any actions yourself. It could also further help by making sure you know how much equity value remains in your property at present, based on recent appraisal values. This will help reduce the liklihood that someone could take advantage or do something unscrupulous, should a dispute arise over how much money may remain due from those who have taken back possession of your property. There are laws in place to protect homeowners from foreclosure and it is important that you do everything possible to get the assistance needed before deciding what actions to take.