Top 7 Reasons Homeowners Face Foreclosure
Thousands of families face the tough battle of going through foreclosure every month. Foreclosure can affect anyone, poor or rich. It’s a heartbreaking process and can leave homeowners homeless and in hundreds of thousands of dollars of debt. Getting ahead of the game and making sure you talk with your lender and speak with an attorney early if you think you’re at the chance of going through foreclosure is your best option. Speaking to a real estate investor and foreclosure expert, such as us here at 407Foreclosure Help will allow you to understand your options before moving forward.
Going through foreclosure? Heres probably why
- Unemployment- It’s hard to keep up with a mortgage when no money is coming in! Hard economic times have forced many companies to have to lay off employees and when that happens it's generally quick and unexpected. Many Americans don’t have much put to the side for savings so when an emergency happens like this, foreclosures are to be expected.
- Multiple bills- Not being able to handle your bills and prioritize is a problem many Americans households struggle with. Purchasing that new car may not have been the best choice after realizing you can’t keep up with both payments at once.
- Divorce- Divorce is another heartbreaking emotional event that can be distracting from your financial responsibilities. Between court dates and paperwork, it’s hard to keep up with bills. It quickly grows though and as a newly single individual, you may realize you can’t take on the growing cost by yourself.
- Credit card debt- More than half the United States has a credit card! Many people are forced to choose between their growing credit card debt or mortgage payments. You may avoid going bankrupt but a foreclosure is not far behind.
- Adjustable rate loans- Homeowners are tempted by the low payments and interest rates but once the cost accelerates and the interest grows many are caught off guard and can’t keep up with the payments. Soon they find themselves buried under a pile debt and facing foreclosure. Make sure you are financially able to keep up with adjustable rate loan and are not tempted by the initial price.
- Sudden relocation- Some people have to move because of a job, or family members. Others may be forced due to a relationship but when a sudden move is forced homeowners find themselves having to pay two mortgages. If your house fails to sell quickly you can see it becomes a bigger waste of money and foreclosure may just be your best option.
- Medical expenses and illness- Medical reasons are the cause of 13 percent of all foreclosures nationwide. It could be from the added stress and financial burden of having to pay medical bills. You could lose your job due to not being able to properly work. Illness and medical expenses can put a huge pause in your life but unfortunately not on your mortgage payments.
Being aware of the many reasons homeowners fall into foreclosure can help keep you prepared and ready as you enter into homeownership. Give us a call today to learn more about how we can help if you or someone you know is currently facing or already in preforeclosure. 407Foreclosure Help has been helping families in the central Florida area for over 10 years.
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