Are You In Foreclosure, Upside-Down On Your Loan, Drowning in Debt?
Pre-Foreclosure
This is a term for property in the early stages of being foreclosed (repossessed) by the lender due to the property owner’s inability to pay mortgage payments as contracted. Pre-foreclosure status begins when the lender files a formal Notice of Default on the property to inform the property owner that the lender will be pursuing legal action if their debt is not paid in full. At this point, the property owner can negotiate a payoff of the outstanding debt or sell the property before it is foreclosed. This is where Open Door Property Solutions can provide the consulting you need to navigate this fast-moving process and make every effort to save your home.
Loan Refinancing
When you refinance, you pay off your existing mortgage and create a new one. There are many reasons to consider refinancing your mortgage: Has your credit score improved enough to make you eligible for a lower interest rate? Would you like to change the type of mortgage loan? Can other debts (e.g., a second mortgage) be consolidated with your major loan so that you make one single payment at a far lower interest rate? Are you behind in payments due to a hardship and now need renegotiation to keep the mortgage out of default? Open Door Property Solutions helps you negotiate with lenders for a lower interest rate and more affordable payments.
FHA Home Affordable Modification Program (HAMP)
HAMP works by encouraging lenders to modify mortgages so struggling homeowners can pay lower monthly payments and avoid foreclosure. HAMP has both specific homeowner eligibility requirements (verifiable hardship and the ability to make new payments) and strict guidelines for loan servicers. The program includes incentives for homeowners, servicers, and investors to encourage successful mortgage modifications. Open Door Property Solutions will provide the assistance needed to find the right lender and best program to shape the payment you need to save your home from foreclosure.
HOPE for Homeowners (H4H)
H4H is a government-backed FHA loan program to provide help for distressed homeowners. It is designed specifically to aid homeowners facing foreclosure. With this loan program, if you are near foreclosure and having difficulty paying your current mortgage, you could potentially refinance your loan. Open Door Property Solutions will counsel you on working with local FHA lenders to streamline the process of refinancing your home loan.
Loan Modification
A loan modification is different from a refinance in that you keep the current loan with the current lender while changing the original terms of the mortgage. The lender changes the payment amount, length of loan, interest rate, or other terms within the contract you previously signed. You must prove your hardship and provide reasonable evidence that you will repay the loan, and the lender in turn reduces monthly payments to an affordable amount. Open Door Property Solutions will analyze your current situation and guide you through the loan modification process.
Chapter 13 Bankruptcy
A Chapter 13 bankruptcy allows homeowners to keep all their property while paying off a portion of their debts over the next three to five years. This process will still influence the debtor’s credit but is looked on more favorably than a foreclosure. Open Door Property Solutions will counsel you about your options and walk you through the filing process.
Property Debt Cancellation
For those who are unable to refinance or modify their current loans and are still facing foreclosure, this is the best-case scenario. Based on the equity you have in the home and how much is owed to the lender, Open Door Property Solutions will work with investors to cash out your current equity, cancel the debt to the lender, and leave you with some cash in hand.
Short Sale
A “short sale” occurs when a homeowner sells the home to a third-party buyer for less than the total debt remaining on the mortgage. During a short sale, the lender negotiates the selling price with the buyer and agrees to take the sale price in exchange for releasing their lien on the property. Depending on laws in the state where you live and the type of pre-foreclosure, you may not owe any more money after the sale. Open Door Property Solutions will analyze your debt-to-home-value ratio and work with investors to make your short sale a win/win scenario.
Deed in Lieu of Foreclosure
The Deed-in-Lieu process requires that you surrender your house keys (the deed) to the lender and walk away; in turn, the lender agrees to end the foreclosure sale and never ask you for any more money. This process is for those who have exhausted all other options to save their home. It eliminates the current mortgage debt, lessens the negative impact of foreclosure, in some states provides relocation money, and offers multiple exit options. Let Open Door Property Solutions help you negotiate with your lender to make the process of exiting your home as painless as possible.
Divorce Property Liquidation
The divorce process can be messy and painful for all parties involved. At this stressful moment in life, Open Door Property Solutions can help ease the burden by taking care of the property liquidation for you. We will work with investors to get fair value for your home.
Death in the Family (Probate) Property Liquidation
A death in the family leaves those who remain with the painful task of Probate – a legal system which divides the assets among the survivors. Open Door Property Solutions can simplify property liquidation for you by working with investors to get fair value for your home and property.
