WestParke, Inc.
The Short Solution People
7 Mistakes To Avoid
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MISTAKE #1: BANKRUPTCY
- Many debtors spend all they have on Attorneys to file bankruptcy only to lose the house.
- Know what the bottom line of what it will cost and what your new payments will be.
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MISTAKE #2: AGREEING TO A FORBEARANCE
- Increasing your monthly payments is not the solution. The payments were unaffordable in the first place. The lender will increase your monthly payments through forbearance knowing that 85% of people don't make the 2nd payment.
- Lender is trying to get every last penny they can before they foreclose.
- Make sure you know your budget and what you can afford before agreeing to forbearance.
- Have the lender fax you in writing what your payments will be.
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MISTAKE #3: LISTING YOUR HOME WITH AN INEXPERIENCED REALTOR
- Many homeowners will list with a Realtor who has no experience with your situation and they are unable to sell your home which results in foreclosure.
- An inexperienced Realtor may be able to find a buyer for your house but is not able to sell it due to the payoff amount and the Realtor commissions.
- There has been several times where the Realtor finds a buyer but does not close in time to stop the foreclosure.
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MISTAKE #4: SIGNING A “DEED IN LIEU” OF FROECLOSURE
- This does not benefit you, it benefits the Lender even though they lead you to believe otherwise.
- The Deed in Lieu is a voluntary foreclosure. This is just as bad as a Foreclosure.
- This gives the Lender total control and leaves you with no options.
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MISTAKE #5: WAITING UNTIL THE LAST MINUTE TO DO SOMETHING
- Time is your worst enemy and the clock is ticking.
- Waiting too long will leave you with little or no options to take control.
- Explore your options now and make an educated decision on what is best for you.
- MISTAKE #6: RELYING ON A MORTGAGE BROKER TO REFINANCE YOU
- The Broker has nothing to lose if your house goes to foreclosure.
- If you insist on waiting for them to get it done, give them a deadline to have something in writing.
- Make sure the new payments are affordable for you.
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MISTAKE #7: TAKING BAD ADVICE
- Remember this is about you and no one else, make an educated decision that works best for you.