What are options for people in Foreclosure?

[Christeina Douglas]

I am a lead generator.  I cold call homeowners facing Foreclosure to see if they want to sell the property instead of loosing it in Foreclosure.  Many homeowners want to keep the property. 

What options do homeowners facing Foreclosure have ?? 

[Ron S.]

Originally posted by @Mindy Jensen:

@Christeina Douglas, homeowners facing foreclosure have three options - they can sell the house, pay the missed payments and fees to bring the mortgage current, or go through the foreclosure process. 

If someone wants to keep their home, they need to make the payments.

Their 4th possible option is to modify their loan. If the lender has a loan modification program, and the borrower meets the requirements of the program, it must be offered.  There is no law that a lender have a loan modification program but there is a law that if they have one, it must be decisioned within 30 days of submission of a substantially complete loan mod package AND, if the borrower is denied a loan mod, the reason must be specifically stated.

over 70% of all real estate loans (Over 90% back in 2012!) (1st TD's, not 2nds!) are owned by Fannie/Freddie and they DO have a loan mod program available so, chances are that there might be a program available. That said, borrower must qualify. Lack of sufficient income from an involuntary hardship is a valid reason. Death of borrower, medical, involuntary job loss, etc. are all legitimate hardships. Spending money at the casinos is not.