Most people don’t buy a house with the intent of getting behind on payments and facing the prospect of foreclosure.
There are two main ways to lessen the likelihood of foreclosure before you’re even move in the house.
First, simply don’t put yourself in a situation where you won’t be able to afford your mortgage. This is something that many buyers have done with creative mortgages, ARMS, pick a pay loans, and all sorts of untenable mortgages.
Just because the mortgage lender approves you for a loan at a certain amount doesn’t mean you can actually afford the payments on that loan. On our first home we qualified to purchase a house at $495,000, but we bought one at $95,000. That kept our mortgage payments small.
Second, have a solid grasp on the details of your loan.
Make sure you understand the payment structure of each and how it may change over the years. Don’t simply sign the documents without reading them, simply because you need to refi or make a purchase.
I have dealt with many homeowners who signed for loans that were “different than they thought.” At the last minute, the lenders swapped loan products and as buyers, they felt trapped into accepting a loan with awful terms. Don’t let that happen.
Already Behind on Mortgage Payments?
So what can you do if you are behind on payments already? There are some options available to you. Simply dig around the website to see them, but perhaps you simply want to talk with someone.
Give us a call at 804-915-719-1489 or fill out a form to Get our offer in 24 hours. Calls are confidential and even if we can’t help you, we can still provide you with some resources to help.