Owning a home is part of the American Dream. When you are faced with the threat of foreclosure, it can feel like everything you’ve worked so hard for might be taken away by the bank or lender.
Thousands of homeowners find themselves in situations where they are unable to make their mortgage payments—whether because of an economic downturn, an illness, or a job loss.
We know how scary the prospect of losing your home can be, especially if you have young children. If you’re facing foreclosure, you have options. Foreclosure sales can be stopped and you can save your home. Banks and lenders count on you not knowing your rights or think the stress and anxiety you feel will prevent you to Act .
You don’t have to face this threat alone. Our experienced California foreclosure defense attorneys can help you understand all your options. Keep reading to learn about your rights and how we may be able to help you.
What Is Foreclosure?
Foreclosure is the legal process that allows a lender to sell a property when the borrower falls behind on their mortgage payments.
If you fail to make payments, your home can be sold by the bank or lender without your approval, outside of court through a process called “non-judicial foreclosure.” When your home is sold this way, the bank or third party will legally purchase and own your home, and you can be evicted from the home. Most foreclosures in California are non-judicial.
Under a “judicial foreclosure,” your home cannot be seized without a court intervention. The bank or lender must file a lawsuit to get a court order to sell the home. Judicial foreclosures are rarely used in California.
If your home is in danger of foreclosure, don’t wait. Call our foreclosure attorney today for a free consultation. We will assess your situation and help you understand all your options.
Why Foreclosure Happens
It’s a myth that only “irresponsible” homeowners face foreclosure. There are many reasons you might have trouble making your mortgage payments, including:
- Job loss or loss of income
- Medical issues or disability
- Changes in loan terms
- Death of a spouse or family member
The reason you missed one or more mortgage payments really doesn’t matter. You deserve to stay in your home. Contact our office to see how we may be able to help you.
How to Avoid Foreclosure
The prospect of losing your home can be frightening, but you have options. Our experienced foreclosure attorney will evaluate your situation and help you figure out the best plan to defend against foreclosure. Here are some of the possible options:
Chapter 13 bankruptcy – Sometimes referred to as a “reorganization,” a Chapter 13 bankruptcy allows you to create a 3-5 year repayment plan for the mortgage payments you are behind and prevents the bank or lender from proceeding with foreclosure. Chapter 13 is a good option if you believe you will be able to make all the required payments throughout the bankruptcy term. Other remaining debts may be wiped clean at the end of the term.
Other possible options include:
Loan Modification – A loan modification adjusts the terms of your loan to make the payments more affordable.
Short Sale Negotiation – This involves selling your home for less than what you owe on the mortgage to avoid foreclosure or bankruptcy.
Wrongful Foreclosure Litigation – If a lender fails to follow proper foreclosure procedures, you may be able to bring a legal case against them to stop the foreclosure.
Deed-In-Lieu of Foreclosure – This involves voluntarily signing over the property to the lender to avoid foreclosure, and it’s usually done when the loan amount far exceeds the property value.
Reinstatement – This means paying what you owe, plus any fees, to bring the terms of the loan up to date.
Mortgage Forbearance – These programs allow you to pause or reduce your payments for a limited period of time, but they don’t erase the debt. You’ll have to repay missed or reduced payments in the future.
Our knowledgeable foreclosure attorney can explain these options in more detail and help you decide which one may be right for you.
Do You Need a Lawyer?
It’s hard to know where to turn when you’re faced with the threat of foreclosure. An experienced California foreclosure lawyer can help you maximize your chances of saving your home—and help you avoid pitfalls that could cost you precious time.
The best course of action depends on your situation. An experienced attorney can help you negotiate with your lender, get your monthly payments reduced, or file for bankruptcy, depending on your best option.
The earlier you hire a foreclosure defense lawyer to represent your case, the better your chances of saving your home.
Let Us Help You Save Your Home
If you’re behind on your mortgage payments, don’t wait for your lender to make the next move. The earlier you act, the more likely you are to avoid foreclosure and save your home.
The Law Offices of Kevin T. Simon, APC, offers affordable advice and legal services to defend against foreclosure.Filing for bankruptcy may be your best option, and it’s our specialty.
We take a personalized approach with our clients. Our legal team will develop a customized strategy based on your situation and walk you through each aspect of your case.
Whether you decide to ﬁle for bankruptcy or opt for a non-bankruptcy alternative, you can rest assured knowing you have skilled, experienced attorneys working on your behalf.
How can I prevent foreclosure?
If you have home equity, one option is to sell your house before the bank forecloses on it. Other options include reinstating your mortgage by paying all past due payments, applying for loan modification, mortgage forbearance, or filing for bankruptcy.
Our experienced foreclosure attorney will counsel you on all your options, including filing forChapter 13 bankruptcy.
Do I get any money back after foreclosure?
Even if you lose your home to foreclosure, you are entitled to excess funds if the house sold for more than what you owed on the house, minus fees and cost .
What if my house gets sold for less than what I owe?
If your home is sold for less than what you owe, you may be liable for the remaining amount. An experienced attorney can help you avoid collection actions or defend you in court.
Will a foreclosure affect my credit score?
Missing even one mortgage payment can ding your credit score. A foreclosure can seriously harm your credit score. If you’re concerned about this, a short sale (selling your home for less than what you owe to avoid foreclosure) can help you avoid a major blow to your credit score. Our experienced attorneys can help you determine if a short sale is a good option in your case.