Thursday, February 18, 2010

Finding Foreclosure Help, Government Help or Short Sale

IF you are in search of foreclosure help in Phoenix, Arizona and are not sure where to turn, consider the government’s plan to help you out. However, realize that the government plan for foreclosure help, basically a loan modification, has several requirements that may cause you to be ineligible. We believe that foreclosure help from the government is just the second best option. The best foreclosure help available to you is the short sale. Here are the two plans, in a nutshell, and some of the things to consider with each.

With the government program, you will only receive foreclosure help in Phoenix, AZ if you meet the criteria laid out by the government and get your application for foreclosure help is during the time frame that the government sets aside. Here is that criteria as we understand it….

1. You must live in the home that you are seeking foreclosure help for.

2. The mortgage you are seeking foreclosure help on must have been obtained prior to January 1, 2009.

3. foreclosure help can not be used on mortgages that are more than $729,750.

4. Your total monthly mortgage payment, including taxes, insurance, and homeowner's dues has to be more than 31 percent of your gross monthly income.

5. To receive foreclosure help, you must be a difficult financial situation.

6. If your payments are up to date, you can still qualify for foreclosure help, but you need to prove that your current financial status will probably lead to defaulting on your loan

If you qualify for foreclosure help based on the criteria above, you have a good chance of getting a loan modification that will better suit your needs. We recommend that you apply for foreclosure help as soon as possible. Do the following to get qualified for foreclosure help…

· Let the bank know that you would like foreclosure help with the President’s loan modification program

· When you contact the bank regarding foreclosure help, verify the above criteria with them, but do not give them any information yet.

· Accurately supply the lender with the above criteria. There are no “do overs”. So check and double check to be sure that they information shows you qualify.

President Obama's Stimulus Plan might give you the foreclosure help that you need. It will certainly be a good option for some people

The second, and in our opinion, better option, for many people is the short sale. With a short sale, you will place your house on the market and get an offer from a perspective buyer. To get the foreclosure help you need, you can avoid foreclosure all together by taking the offer to the bank and telling them that they should take the offer because you will otherwise default on your loan. They, in many cases, because you need foreclosure help, will accept the offer and forgive the remaining loan balance. They do this because the lender realizes that they will recover more money from you selling the home than they can if they have to sell the home through a foreclosure sale.
BE SURE TO FIND A QUALIFIED REAL ESTATE AGENT TO HELP YOU WITH THIS PROCESS!

Do you have questions? Read the Short sale FAQs.

Are you a Realtor? Then get free short sale training by Kevin and Fred at Free Realtor Training on ShortSalePower.com

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