Losing More Than Your Home Through Foreclosure
Have you recently lost your home to foreclosure? You likely figure that the worst is over and from here, things can only look up. Unfortunately, if you bought your home within the last two years, you also have to deal with a higher cost of living and the ever pending threat of unemployment.
The surge of sub-prime loan defaults in recent years has hurt first-time homebuyers who bought into schemes of easy-to-secure but impossible-to-pay-off loans. First time buyers were also susceptible to “liar loans” which didn’t require debtors to submit any information about their income.
It’s no small secret that the foreclosure home auctions currently run by banks are attracting opportunists looking to make a fast bargain. As a result, houses are significantly short-sold. Unfortunately, this doesn’t just happen to those who take out bad loans—those with unexpected setbacks like unemployment and pay-cuts can simply no longer meet their monthly mortgage obligations. For many, selling their homes simply isn’t an option when no one’s buying. In this down real estate market, homeowners are forced to pay the difference between what the house is sold for and what they still owe on it—EVEN when their home is foreclosed upon.
The best course of action is to preempt the foreclosure and file for bankruptcy. When you file for Chapter 7 or Chapter 13 personal bankruptcy, you can receive an immediate “stay of protection” that prevents any foreclosures or debt collection civil suits to be filed against you. Speak with an experienced attorney at Legal Helpers today by calling 800-260-1402.
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