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Avoiding Foreclosures

07-26-09

Ginger Harper

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Office: (910) 798-1079 x1079

Mobile: (910) 470-6713
Secondary: (910) 798-1078

Avoiding Foreclosure
Helping Clients Keep Their Homes

Few things are as devastating as losing your home. Sadly, it's not always inevitable. In many cases the foreclosure could've been avoided with some outside help.

You are in a unique position to advise your clients in financial matters. If you know that a client is on the path toward foreclosure, take the time to show them how it can be avoided. First, remind them of some of the hidden difficulties that will arise if foreclosure occurs.

Finding a new home. Don't let your clients believe that it will be better to let the foreclosure happen, because after they lose their home, they will still need to find a new place to live. All too often, the price they will need to pay in rent will be almost as high if not higher than their current mortgage payment. Remember: The owner of the property needs to make his mortgage payment, too, so he's going to charge a rental payment that's higher than his mortgage costs.

Deficiency judgment. It's not uncommon that the sale of the home is insufficient to cover the remainder of the mortgage. When the property has been damaged, or market values have dropped, the owner may end up with a bill in the tens of thousands for the difference.

Despite what many people think, most lending institutions are not anxious to foreclose. It's a last-ditch effort to recover their money and minimize their losses, and it's an incredible hassle. Most lenders would rather avoid it, if possible. There are multiple sources for help that your client should be aware of, and most lenders will be happy to hear that their clients are going to try to keep their home rather than just await a foreclosure.

Housing Counseling Agency. The US Department of Housing and Urban Development maintains a list of HUD-approved counseling agencies. Have your client call (800) 569-4287 to find the agency nearest them.

FHA-Insurance fund. FHA borrowers may qualify to have HUD make a one-time payment to bring their mortgage current. See www.hud.gov/foreclosure for more information on the requirements to qualify.

Different mortgage program. Have them talk to a loan officer about the possibility of refinancing their mortgage to a more affordable program.

Special Forbearance. Many borrowers can qualify for a new payment structure if they've had an increase in their cost-of-living, such as unexpected medical expenses, or a decrease in wages. This payment structure will allow the owner to repay the lender in a given time frame.

Watch for more Business Boosters to help you provide superior service to your clients!

2 Comments

Quick trip to Durham

07-26-09

Ginger Harper

view my blog
Office: (910) 798-1079 x1079

Mobile: (910) 470-6713
Secondary: (910) 798-1078

Yesterday we traveled to Durham to visit with Jimmy's Mom. She is now 92 years old and doing very well for 92 years of age. She is very sharp and still calls the shots. WE are so glad that she continues to do well.

At 92, and being the publisher of the State Port Pilot, she is very much in her control. She is a wonderful person with whom I have a lot of respect.

I pray that my days at 92 are as good as hers.

Visit the paper online at " http://www.StatePortPilot.com

"A good news paper in a good community"!

Ginger Harper of Southport NC

1 Comment

Can you name the Bridge in the background? and Where is it?

07-20-09

Ginger Harper

view my blog
Office: (910) 798-1079 x1079

Mobile: (910) 470-6713
Secondary: (910) 798-1078

This is our Granddaughter Kathleen..

Can you name the bridge in the background and tell me where it is..? She is just a junior at Page High School in Greensboro. This was a class Trip. She is one Bright Person...and we are very proud of her. We will do all that we can to help her travel as much as she would like.

Ginger of Southport