Foreclosure
Foreclosure is the process where a lienholder (usually a bank or mortgage company) uses a lawsuit to take possession of a home. This process usually commences when the homeowner has missed payments and is in default. If the homeowner takes no action to stop the foreclosure, the home will eventually be sold at auction. At this point, the homeowner has lost ownership of the home, and the homeowner's credit rating is negatively affected (for a lengthy period). It is also possible that some debt may continue to follow the homeowner, even after the sale of the house at auction.
Negative consequences of foreclosure auction
Given the relatively severe consequences of foreclosure at auction, it is usually in the homeowner's best interests to resolve the foreclosure prior to auction. There are several ways to accomplish this, including loan modification, "short" sale, paying the funds owed, or possibly bankruptcy. However, in today's market conditions, many homeowners find themselves in an "upside-down", or negative equity situation, where the mortgage balance is far greater than the current value of the house. So there may be little incentive to continue sinking money into the mortgage. At Enchante, we are familiar with each of these options, but we do not provide legal advice concerning the best option for your situation.
How can Enchante help?
Once you have decided that it is important to avoid a foreclosure judgment, Enchante can:
Buy the house with immediate settlement (so you don't have to make any more payments and are out of foreclosure)
Pay expenses to help you get settled in new affordable housing, including security deposits and first month's rent
Help restore your credit
Meet with you to help determine your best course of action
Charge no fees
Foreclosure is very stressful.
Let Enchante help you stop foreclosure.
Get started on a new beginning.