Is it possible to avoid a foreclosure?

[BunniesandRainbows]

I am posting under an alternate LOGIN name....

I just received a summons to appear in court for foreclosure proceedings. I fell onto some hard times a few months ago due to my job and have been unable to make my mortgage payments since last August. I kept my lender abreast of what was going on, but still received the papers.

My question is, is it a definite that I will lose my house? I am now back on my feet and am able to to resume my mortgage payments. I received hardship papers in the mail from my lender and am in the process of filling them out.

Is there still hope?

 

[djmeredith]

Yes there is hope! Most mortgage companies do NOT want to foreclose and be stuck with a vacant house. They will most likely be willing to work out a payment plan with you to get you current. Call the company immediately and try negotiating such a plan. Do not wait until the court date.

 

[lisaross]

totally agree! Call the bank - make a plan and stick to it!

Good LUck!

 

[luvsJack]

Have you checked to see if you qualify for a modification? Check out the Making Homes Affordable website (don't have the link, just google it).

 

[Marionnette]

I am posting under an alternate LOGIN name....

I just received a summons to appear in court for foreclosure proceedings. I fell onto some hard times a few months ago due to my job and have been unable to make my mortgage payments since last August. I kept my lender abreast of what was going on, but still received the papers.

My question is, is it a definite that I will lose my house? I am now back on my feet and am able to to resume my mortgage payments. I received hardship papers in the mail from my lender and am in the process of filling them out.

Is there still hope?

Why would your lender send you hardship paperwork if they were taking you to foreclosure? That's a little confusing.

Foreclosure law varies from state to state, so there is no pat answer to your question. It is possible that you could lose your house. After all, that's what a foreclosure is. You need to contact a lawyer to get concrete answers if you want to save your house.

 

[jd4nati]

Have you checked to see if you qualify for a modification? Check out the Making Homes Affordable website (don't have the link, just google it).

This! Also check out a website called Loan Safe. Tons of foreclosure avoidance advice in their forums.

 

[Colleen27]

Fill out the hardship papers and keep on your lender about getting them processed. I've seen some people save their homes that way, and I've seen others foreclosed on while the lender had them jumping through hoops that turned out to be in vain. I think lenders are more likely to work with you to keep you in your home than they were even a few years ago, and if you're able to resume payments now you are in a good position to take advantage of whatever modification options are offered.

 

[TheRustyScupper]

1) As mentioned above, CALL A FORECLOSURE LAWYER, FAST !
. . . in most state, you have, by law, 20-days to reply
. . . if no reply, you could lose the home through default
2) Most others do not have the current info to help enough.
3) And, in legal matters, "just a little info" can be a terrible thing.
4) Whether you qualify for a modification also depends upon your loan.
. . . if Fannie Mae or Freddie Mac, you have a great chance under "HARM"
. . . if solely through your local Savings & Loan, not so good chances
5) I wish you good fortune.

NOTE: Although maybe tough, you could always try re-financing by
using a relative to co-sign the note. Very tricky for the relative, but
it might be a way through this. We took a chance and did this for one
of our daughters. Still risky for us, but worth the chance.

 

[Cheshire Figment]

Make sure that you make it to the scheduled Court Date. If you do not show the lender can get a default judgment against you.

Also talk to a lawyer for advice. If there is a law school nearby you might be able to get a student who can assist you in court and little or no charge.

 

[Shelly F - Ohio]

Why did you not try to work things out with your bank? You have missed several payments they have probably sent you notices & called about the missed payments. I would think that by now they think you are not interested in helping yourself and they have moved forward with the legal dept at the bank and the filling of the foreclosure with the court system who has set a date to handle this matter. Usually once it has gone this far they are serious about the foreclosing.

 

[disneychrista]

Make your mortgage payments?

 

[lvillotta1]

You always pay your mortgage payment first!!! Even if you have to work 5 jobs. The rest of your bills come next. I would have called my bank way before August or I would have come in to sit down and talk face to face. Once you are behind and you do not pay they assume you are not interested in being responsible for what you owe. Bankruptcty is a hard lesson to learn. Most people that file for bankruptcy never learn their lessons and do it over and over again. How sad.

 

[graceesmom]

It depends on the bank as to why you received the foreclosure notice. If it is a big bank, it is very likely because the right hand isn't talking to the left hand.

Regarding receiving a notice to be in court -- you usually first receive a summons and complaint. You must answer the complaint by filing an ANSWER in court and serving a copy on the bank's attorney. You might be able to do this on your own, but it would be worth calling an attorney that handles foreclosures.

You don't want to be found in default of the Complaint. That is totally different than being in default on your loan. Every state differs, but once you are in default (not filing an Answer), it means you admit to everything in the complaint and a default judgement can be entered against you granting the relief to the plaintiff.

A foreclosure lawyer, may be able to tell if the bank actually jumped through all the hoops they are required to in order to file foreclosure or negotiate on your behalf. An attorney that specializes in this area will be able to give you your options and lead you through the process. It will cost money to hire a lawyer, but you have to decide if it is worth it if it means you could save your house. Only you know the answer to that.

This is not like walking yourself through getting a restraining order, or buying an on-line will kit. You need someone who has the knowledge and training in the area to guide you.

There may also be free or reduced legal services in your area particularly for home foreclosure issues, but I would first call a reputable lawyer. If that person doesn't do foreclosures then ask them to recommend someone. Don't be afraid to ask what the fees are/hourly rate, etc. How much for a consultation.

 

[dmiller64152]

Have you considered bankruptcy? Don't flame me please, but it sound like OP faced financial difficulties beyond her control, and is on the right path now. A chapter 13 bankruptcy would allow you to pay off the arrears over several years. Once you file a bankruptcy, all foreclosure actions will stop immediately. It will affect your credit for a number of years though, and you would pay sky high interest on any loans (autos, etc.) for a long time.

There are a lot of very successful people, including Donald Trump and a number of congressmen, with bankruptcies in their past who used the opportunity to turn their finances around.

 

[dmiller64152]

Another thing with bankruptcy ... you can include the court fees and attorney fees with your debts and part them off over time. Many bankruptcy attorneys do not charge consultation or upfront fees. On the other hand, loan modification "experts" can be huge scams.

 

[Kathi OD]

Why did you not try to work things out with your bank? You have missed several payments they have probably sent you notices & called about the missed payments. I would think that by now they think you are not interested in helping yourself and they have moved forward with the legal dept at the bank and the filling of the foreclosure with the court system who has set a date to handle this matter. Usually once it has gone this far they are serious about the foreclosing.

You always pay your mortgage payment first!!! Even if you have to work 5 jobs. The rest of your bills come next. I would have called my bank way before August or I would have come in to sit down and talk face to face. Once you are behind and you do not pay they assume you are not interested in being responsible for what you owe. Bankruptcty is a hard lesson to learn. Most people that file for bankruptcy never learn their lessons and do it over and over again. How sad.

The OP said they have kept the lender informed. Evidently that is true since the lender sent them hardship papers.

I agree w/ a PP who thinks that the right hand of the bank is not talking to the left hand. FWIW, it doesn't necessarily have to be a big bank (although more likely) for this to happen.

 

[bumbershoot]

The OP said they have kept the lender informed.

Exactly what I was going to post.

I hope everything works out! We had a friend lose his job (his boss turned out to be an actual criminal and the company up in Seattle closed the day the guy was arrested, causing everyone to lose their jobs) at the same time his wife lost hers. Thankfully Chase was AMAZING to deal with during that time for them, and once he started working again and even better when she could too, it all worked out well.

I hope your lender is as good as theirs was, especially since you said "I kept my lender abreast of what was going on... "

 

[MOM POPPINS]

I agree call and attorney fast, they can stop a foreclosure quickly!!!! You will probably have to pay your attorney a retainer fee but it will be less than a house payment most likely! Good Luck!!!

 

[Praying Colonel]

1. Don't default.

2. http://portal.hud.gov/hudportal/HUD?src=/topics/avoiding_foreclosure

 

[flamom]

OP like another poster posted go on loansafe.org. lots of people in the same boat as you with lots of advice and help. also alot of attorney's do a free consultation. ignore the flamers. good luck!