What if a Florida homeowner runs into some hard financial times and can’t gather funds to make a mortgage payment? Would his or her home undergo foreclosure? It is not likely to happen for one missed mortgage payment and, perhaps, not even two. However, if a financial crisis arises and lenders are threatening to take ownership of a home, it is critical to know how to stall or prevent the process altogether.
Foreclosure typically does not activate until one has missed 90 consecutive days of payment. The entire process can take up to a year. In the meantime, there may be several options available to get out of debt and save a home.
By carefully reviewing late payment notices, a homeowner may learn about potential ways to prevent foreclosure. Because most lenders do not want to take on the added work and stress that often accompanies the foreclosure process, it is often possible to convince them to agree to alternative plans that keep it from happening. Perhaps a lender will often a refinance plan or be willing to allow a restructuring of payments.
A homeowner can also sometimes gain forbearance when lenders agree to suspend payments owed until financial crises are resolved. Of course, the payments will ultimately be tacked onto to the end of the loan. In short, the debt will be paid in full, just at a later date.
Another option that may stop foreclosure is to file for bankruptcy. Florida homeowners who think this may be the best course of action will want to learn all they can ahead of time to come up with the best plan to suit their circumstances. An experienced debt relief attorney is a great asset to have on hand at such times.
