Strategies to Avoid Foreclosure

Now that you know what early signs to look for if you are at risk of foreclosure, here are some strategies to possibly avoid foreclosure.

• Be Proactive about the problem when the first warning signs appear.  Not only does this reduce the stress of not knowing what is going to happen but it makes it easier for creditors to work out a plan.

• Contact your lender when you become aware that you have a problem.  The last thing that a lender wants is to foreclose on your property.  Financial institutions lose a significant amount of money by foreclosing on a property.

• Read the mail.  Not knowing does not solve the problem it just delays the final result and increases the pain.  By not reading the mail a person avoids the opportunity to get help before it is too late.

• Contact a HUD approved housing counselor or call a REALTOR for advice.

• Prioritize your spending by paying for the necessities of life first.  Always pay the house payment and health insurance first.

• Look for ways to generate cash.  Sell those items that have value but are not used or needed, or see a part time job to get through the crisis.

• Don't get scammed by a private "foreclosure prevention specialist," instead go to www.hud.gov to obtain valid information about foreclosure prevention.

• Make an appointment with a REALTOR to discuss the problem and to get their advice.

Don't let it control you, you control it!