Loss Mitigation is the department of your lender that will be responsible for reviewing the work-out package and making a recommendation. They may recommend any of the following: reinstatement or repayment plan, a partial mortgage insurance advance claim payment, a forebearance agreement, a mortgage modification, a loan assumption, a pre-foreclosure or short sale, or a deed-in-lieu of foreclosure. Each option has it's pros and cons. Contact us for more information.
Watch out for the scams! There are many investors that are looking to take advantage of you and your misfortune. The primary scams to watch out for are: equity stripping, phony counseling agencies, and flippers. All of these scams can result in a foreclosure on your credit record. Contact us for more information about these scams that are occuring in the local market. We will give you all of the details and provide you with HUD approved information.
Precautions you can take. Don't sign anything you don't fully understand. Get all "promises" in writing. Beware of any purchase agreement where you are not going to a closing and being formally released from the liability of your mortgage debt. Check with an attorney or your mortgage company before entering into any deal involving your home.
