Foreclosure Information

What Should I do when I get behind on my Mortgage?
1. Don't ignore the phone calls and letters from your lender. This is the best way to wake up to a knock from the Sheriff telling you to vacate the home. Take this matter very seriously and work to resolve the problem as quickly as possible. Keep track of all correspondence you receive for later reference.

2. Stay in your home. You may not qualify for foreclosure help if the house is vacant. Your home, if proved vacant, can be seized. Stay in your home!

3. Contact Homeowner Resources to discuss what the best foreclosure solutions are for you. We will work with you and your lender to get your loan back in good standing. We understand the system, the foreclosure laws and the chain of events necessary to help you keep your home out of foreclosure. We will gladly walk you through them in a non-threatening way.

Foreclosure Timeline – Once you become 90 days past due the Mortgage Company will typically issue a NOD (notice of Default). After you receive this notice they will hire an attorney and begin the Foreclosure with the Court system. The Foreclosure must follow a strict procedure laid out by State law. Eventually the house will be sold at auction if nothing is done to stop the foreclosure. The state of Washington generally allows 90 days for this process.

What are my options?
1. Reinstatement - Pay the Mortgage Company all of the back payments to bring your mortgage current. This option is rarely attainable. The lender will add late fees and Attorney fees on top of your back payments making this amount much more than people are able to come up with.

2. Workout - We can negotiate with your lender to bring your loan back in good standing. There are many options available to us to get a work out approved. Some examples are as follows:
a. Forbearance - We will be able to arrange a payment plan based on your financial situation. This is mostly used in the instance of a tragedy or temporary loss of employment.
b. Loan Modification - We may be able to adjust the terms of the loan to meet your financial situation.
c. Partial Claim - You may qualify to have the repayment amount applied to the end of the current loan and resume normal payments.

3. Refinance - We have established partnerships with very reputable lenders who can give loans on mortgages that are in foreclosure if there is enough equity available.

4. Sell Your Home - You may simply sell your home before the Foreclosure Sale Date. Sometimes you may not be able to sell your home outright at the desired sale price and this is not an option. We may be able to negotiate a Short Sale on your behalf with your lender. In this instance the lender may take less than what you owe on the loan to avoid a lengthy and costly foreclosure process.

5. Subject To Purchase - We can purchase your home directly from you, subject to your current loand, provide you a cash payment so you can walk away with a clean slate.

6. Bankruptcy - This is a last resort, and one we do not recommend. This will only save your home temporarily. If you miss one payment during this process the lender will put you right back into foreclosure. This is not a good solution since bankruptcy will ruin your credit and not forgive your mortgage debt! Under the new bankruptcy law, homeowners who are in arrears on their mortgage can't wait until the last minute to file for bankruptcy -- as many people do -- to stop foreclosure (in legalese, it's called "staying" the foreclosure).

7. Foreclosure - You may elect to allow the home to be entered into mortgage foreclosure. This is the most damaging to you. The lender will take your home and all of your equity. If there is no equity they may come after you to pay the shortage or “deficiency”. This is also the most damaging to your credit and your ability to acquire another home loan.

Why work with Homeowner Resources?
Unlike other foreclosure solution firms, we are not trying to pull any scams to bilk you out of your home. We will analyze your situation and offer proven foreclosure advice to help you avoid foreclosure proceeding and keep your credit score from falling. We will negotiate with your lender to stop foreclosure, or work with you to sell your home and get a fresh start in a new home.

What is the charge for your firm’s services?
A consultation with one of our professional foreclosure advisers is always free. We will evaluate your foreclosure situation and be able to inform you of the costs for any additional services your particular situation requires. Usually our programs require that you pay no fees to us since we make our fees on helping you sell your home and move on. However, if you require our full services, our fees begin at $295.00 up depending on your situation and your needs. Our services are very inexpensive in relation to the value of your home. The one thing you need to decide is how much is your home worth to you? What price would you pay to save your home?

What does a Foreclosure Forbearance mean?
In Forbearance, we are allowed to delay or reduce payments for a short period, with the understanding that another option will be used at the close of that time to bring your account to a current status. Your lender, if in agreement, will then temporarily cease legal actions. Lenders may agree to combine your Forbearance with Reinstatement or a Repayment Plan if you know you can provide the needed funds to bring your account current by a specific date. This plan works for people who have just experienced a sudden living expense increase or income loss. We will negotiate with your lender to explain this hardship and hopefully get you the time you need to readjust your spending and recover financially.

What is a Refinance Mortgage?
Depending on your income, credit report, value of your home and the amount of your equity, we can negotiate with a new lender to refinance your existing mortgage. Although this might be difficult to secure new financing with a default on your existing mortgage, if you have enough equity in your home, this option might be attractive to a new lender. We have several lenders who we deal with regularly that are willing to give people a second chance.

Although this option may likely create a loan with higher interest rates, a sizable upfront fee and a longer time for pay-off, it may be the best option for you. With your home refinanced, you will become immediately current, the foreclosure will cease and you will be able to enjoy your home.

What are the right foreclosure solutions for me?
We look at every homeowners situation individually based on your financial situation, past and present. We want to stop your foreclosure and establish a financial plan that will keep your credit in best standing. We don’t want to give you a band-aid but a permanent foreclosure solution. Although many options exist, the only one that is right for you is the one that best fits your financial situation.

Should I negotiate with the lender myself?
Yes. If you are only a payment or two behind and your lender has not hired an attorney to begin foreclosure proceedings you may be able to negotiate a work out agreement yourself. If you are successful then you have saved yourself some funds that can be used to get caught up on your mortgage. Just remember, don't waste a lot of time on this. Time is not on your side right now. If you don't have something worked out within 1-2 weeks, then it's obvious that your lender is not serious about working things out with you directly. When you get to that point you will be better served by professional representation that can use formal business and legal strategies to your advantage.

Can you help me improve my credit rating?
We do not offer credit repair services but with our assistance your credit scores will not suffer any further damage, and if we purchase your home we may be able to actually help improve your scores.

How long does it take for you to complete the case once we fill out all of the paperwork?
Anywhere from 2 days to several months. This depends on the stage of foreclosure you are in and your financial position. Typically it takes several weeks to complete a work out agreement and stop foreclosure proceedings.

Do I have enough time to stop foreclosure?
Up until the foreclosure sale occurs there is always hope. If a sale date for your house has been set you need to act fast. We have stopped sales set for the next day but this is very risky and some lenders will not agree to it. You're best option is to take action immediately to stop foreclosure before it goes too far. Click here to contact us today for a free eligibility assessment.

I'm currently in bankruptcy. Can you still help?
Yes,but we cannot negotiate a work out agreement with your lender until your mortgage has been discharged or dismissed from the bankruptcy proceedings. We can still evaluate your case and explain the best options to save your home. When the mortgage is out of the bankruptcy we can proceed with the home foreclosure help. Sometimes after bankruptcy it is easier to make a mortgage payment because other debts have been discharged.

I've already talked with my lender and they just want all their money. Can you still help me?
Absolutely. Most of our clients have experienced this kind of inflexibility from their lenders before calling us. Depending on your situation, we may be able to purchase your home subject to your existing mortgage which then satisfies your lender and provides you a lump-sum payment. If that is not possible, we can work with your lender to listen to your needs because of our ability to contact the right managers with whom we work in a very professional manner.

Should I file for bankruptcy to save my house?
No! The American Bar Association has reported that 96% of homeowners who declare bankruptcy end up loosing their home to foreclosure anyway. Bankruptcy is very unlikely to help you save your home. If you declare bankruptcy you will likely end up with BOTH a bankruptcy and a foreclosure on your credit report. That being said, there certainly are times when bankruptcy is appropriate and we recommend you consult a reputable attorney should you think you need it.

If you would like to discuss how Homeowner Resources can help you avoid foreclosure, please contact us at or call us at 360.850.1123. We are happy to to discuss your situation in depth and help you resolve your mortgage issues.