If you happen to have fallen behind on your mortgage payment and there is foreclosure coming, there is still something you can do to save your home.
You have a number of options within your reach to stop the foreclosure, or even the delay the process.
This is something many people have a hard time dealing with, but knowing your options is important because it will help you know what you can do to stop foreclosure Columbus.
Below are some of the things you can do to stop or delay the process.
See which one works best for you, or you can talk to an expert who will help you out.
Filing for bankruptcy
If the foreclosure sale has been scheduled to take place in a couple of days, you can immediately stop this process by filing for bankruptcy.
This will stop the process immediately. There is something called “an automatic stay”, and it takes effect when you file.
This will stop the lender from foreclosing the home or collecting the debt. The foreclosure process is stopped during the case.
The lender can file for a motion for relief from stay so they can go on with the foreclosure process.
Even if the court was to grant this motion, the foreclosure will still be delayed for a month or two.
This gives you some time to explore other options with your lender.
While you should not be waiting till the last minute to take this option, you can delay the foreclosure process a little by applying for this, because the lender could be restricted from dual tracking.
Dual tracking is when the lender continues with a foreclosure while there is a pending application for mitigation.
If your application is approved, then the foreclosure is stopped, as long as you are able to keep up with the modified payments.
Filing a Lawsuit
If the lender is using a non-judicial process during the foreclosure process – this is where the foreclosure is done outside the judicial system – then you can delay the foreclosure process by filing a suit challenging the foreclosure.
This will not work when the judicial process has been followed because by then you will have been heard by the court.
When filing for a lawsuit, you will need to prove to the court why the foreclosure shouldn’t happen, examples are;
-the lender is not able to prove they own the promissory note
-the lender violated the Homeowner Bill of Rights in the state you are in did not follow the required steps
-the lender made a grievous error
When you sue the lender, the foreclosure process is just delayed if you are not able to prove your case.
Lawsuits can be expensive, and if you have no basis for your claim, you can end up being ordered to pay the attorney’s fees of the lender.
It is a good idea to see a foreclosure attorney or bankruptcy attorney if you are facing foreclosure.
You will learn more about the different options to stop foreclosure Columbus.