Foreclosure Information: 9 Myths That WillWaste Your Time and Money
You can find many myths about foreclosure. There are those that are based in fact however several are simply nonsense.
With this post we hope to clear up some of these myths with some foreclosure information that you can trust. So keep reading to find out what is true and what isn’t.
The Myth: The bank wants to get my house.
The Facts: The mortgage company almost never wants to foreclose on your house, what they want is the money they lent you paid back with interest. In fact, banks hate going through the foreclosure process and will make every attempt to negotiate with homeowners in avoiding a foreclosure. There are times when the bank’s flexibility just doesn’t go far enough in stopping the foreclosure. That doesn’t mean that the bank “wants” your house.
The Myth: I got a foreclosure notice; Now I have to move out.
The Facts: Just about all states’ foreclosure processes are drawn out. Even if you fail to prevent foreclosure you do not have to move right away. After a foreclosure you must go through an eviction hearing. If you didn’t move out, eventually you would be kicked out. Be sure you use the time to make different arrangements for housing or to find a way to protect your house from foreclosure.
The Myth: A chapter 7 bankruptcy will stop foreclosure and will save me from losing the house.
The Facts: A chapter 7 bankruptcy will halt the foreclosure only for a while. If you are facing foreclosure, in the long run you should do something else to keep the house permanently.
The Myth: I can present a creative idea to get caught up on my mortgage and show it to the mortgage company and they will work with me.
The Facts: Mortgage companies usually involve complicated bureaucracies and specific methodologies. Often the most ingenious plans were destined for refusal when conceived. Stick with a plan within formats and parameters the mortgage company works with everyday to stop foreclosures. It is smart to get a foreclosure specialist who offers comprehensive foreclosure programs to assist you when dealing with a mortgage company.
The Myth: I must do everything I am able to save my house and keep on living in it.
The Facts: Sometimes a person should move on and begin again. Also there are situations where the owner simply dislikes the house and does not have a desire to save it. There are methods to get out from under a mortgage without ruining your credit by allowing a foreclosure or just walking away. The plan should be to find the least damaging option to get the result you want.
The Myth: When I tell the judge my sob story they aren’t going to put me out.
The Facts: The judge is going to follow the law regardless of your story. You may be granted more time, however you will only be postponing the action temporarily. You will eventually have to move out if you are unable to work things out with the bank.
The Myth: No one can help me in stopping my house foreclosure
The Facts: There are many methods and many specialist who are able to help you prevent foreclosure of your home. Loan-Modification-Masters.com is one such place to get assistance in dealing with a foreclosure.
The Myth: When I file a chapter 13 bankruptcy I will maintain possession of my home automatically.
The Facts: When you file a chapter 13 bankruptcy it must be accepted by the judge. Not only that but you must make all the payments ordered by the judge or you will forfeit.
The Myth: The mortgage company is not going to require me cover their legal expenses for taking my house.
The Facts: Yes they will. Look at your mortgage documents, they made it quite clear. It is not going to be inexpensive: $2000-$5000 is common.
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