Behind On Your Mortgage Payments

I just got off the phone with a guy who is losing his house. I always feel sorry for people when they get in that situation even when they do it to themselves.

The guy had a house given to him that was paid off, he ran out and put a $290,000 loan on it with $2000 monthly payments.

Then the next day he lost his job and it took him 2 months to find another job.

So now he owes $4000 plus any fees and expenses the lender has for starting the foreclosure process.

Since he house was probably not worth $300,000 I am not sure how he got a loan like that on it, but that doesn’t matter now.

He wanted to know what he could do to save his house and said someone had told him to declare bankruptcy.

So here this poor guy is jumping from the frying pan into the fire.

I have seen so many people lose their house in bankruptcy I can’t even count them anymore.

The whole process is set up against them, and the only people who make money off this is the attorneys who, in my opinion, usually lie about almost everything.

Or they tell so many half truths that it is as good as a lie.

Ok, before I go off on bankruptcy attorneys let me get back to the guy losing his house.

I told him he needs to call the lender and work out a payment schedule with them.

Many lenders will let you make payments if you are not too far behind, don’t call them the day before the sale and tell them you are ready to send in half a payment – that’s way too late.

I bought a house that was 14,000 behind on the payments and I worked out a deal where I paid $583 extra per month for 2 years to get caught up. Many times they don’t require you to pay the entire balance at once.

And some people just don't want to deal with it, so you can buy the house for nothing down and start making a little larger payment each month while you are fixing the house to sell.