A foreclosure can be a long, stressful, and complex process that can leave many American families feeling overwhelmed and hopeless. All too often, homeowners realize they cannot make mortgage payments and believe foreclosure is inevitable, while that may not be the case. Tiffany Bucher, CEO of Foreclosure Excess Proceeds, has worked within the foreclosure sector for many years and stresses to American families that while the foreclosure process may feel like the end, that does not mean further mistakes cannot be made.
Ignoring Calls and Letters from Lenders
The foreclosure process can be a lengthy one, sometimes taking months to years to complete. During this time, banks will often try to contact lenders, sometimes up to four times a day, to receive outstanding debts. Although this can be a stressful process, it is better for homeowners not to avoid answering a phone call or letter. Ignoring a phone call or letter will not help reduce debt and may speed up the foreclosure process. Homeowners who keep up communication with lenders may be provided opportunities to pay off their debt and not lose their homes.
Not Trying to Negotiate or Restructure
If a homeowner has not completely ignored their lender’s attempts to contact them, they may be able to negotiate or create a way to pay off their debts without losing their home. One of the most common misconceptions homeowners have is that if they cannot make their mortgage payments, the bank will immediately look to foreclosure the house. Tiffany Bucher of Foreclosure Excess Proceeds states that this is not true, as lenders will try to avoid foreclosure as much as possible as they will have to take on the burden of property taxes, property maintenance, and the loss of payments if they choose to foreclosure. For this reason, homeowners should always look to negotiate with their banks and pursue ways to restructure their debt to make it more manageable.
Not Maintaining the Property
Often times, when homeowners realize they cannot make their mortgage payments and believe that their property will soon be foreclosed, they do not see any point in maintaining the property. While it’s easy to see why homeowners reach this conclusion, this can be a costly mistake. Not maintaining a property can lead to thousands of dollars in repairs, making it difficult to sell the property. Additionally, homeowners can still be held liable for the damages after a foreclosure if the damage is significant enough. While homeowners may not want to spend extra money on maintaining a home, they will not be able to keep it is essential to maintain the home. Keeping up maintenance will allow the bank to move forward more quickly with the sale and increase the likelihood of proceeds being available after the sale.
Tiffany Bucher Foreclosure Excess Proceeds 