Avoid Foreclosure During Coronavirus Pandemic

Avoid Foreclosure During Coronavirus Pandemic

The current coronavirus pandemic has set people backward in their lives in many ways. It has caused many workers to have to stay at home because of job closings and mandated orders. Because of that, many people are currently facing home foreclosures. We want to help you if you’re one of the millions of people who the pandemic has affected. These are some tips you can use to avoid foreclosure on your home.

Access Temporary Mortgage Relief

You can try to access some temporary relief from your loan payments to the mortgage company. We suggest that you try to contact the bank and request a deferment or forbearance. Both processes will delay your mortgage payments for a specific amount of time. You will not have to resume payments until your forbearance period has ended. The difference between a forbearance and deferment has to do with the interest. You will not have to pay any of the interest during a period of deferment, but the interest will still accrue during a forebearance.

Avoid Foreclosure

To avoid having your home foreclosed on during the pandemic, you’ll need to keep in touch with the bank and let them know that you are having problems. Many people lose their homes because of a sheer lack of communication. To avoid this, you must contact the loan provider the minute you realize that you’ll have a problem making your payments. Many banks will work with their customers right now because they understand that everyone is dealing with the pandemic in his or her own way.

Home Loan Modification

Another way that you can avoid having your home taken is by applying for a home loan modification. A modification is an adjustment to your monthly mortgage payment. You may qualify for a modification if there has been a change in your circumstances such as a new family member, a job loss or something similar. The coronavirus pandemic most certainly will qualify you for assistance.

Filing for Bankruptcy to Prevent Foreclosure

Bankruptcy is another option for you, as most people get to keep their homes when they file. You could request a Chapter 7 or Chapter 13 bankruptcy, depending on your financial situation. You’ll have to come up with an acceptable repayment plan if you file a Chapter 13.

Avoid Foreclosure Scams

Be careful to avoid foreclosure scams during this time. Many fraudsters and faux attorneys are lurking about and looking to take advantage of homeowners like yourself during these stressful times. Make sure that you check sites such as the Better Business Bureau and the Bar Association before you involve yourself with an attorney or an organization that says they can help you avoid foreclosure for a fee. You’ll also need to read the reviews that consumers have left for such people and organizations. Negative commentary should raise a red flag for you immediately.

Hire an Experienced Attorney for Guidance

The final tip for you is to hire an experienced Long Island attorney that specializes in bankruptcy and foreclosure law to help you to keep your home and avoid scams. A lawyer knows of many other ways to hold onto your home, aside from the tips that we mentioned. You can contact an attorney today by telephone or short form and request a consultation with that person. He or she will explain how the law firm can assist you with your issue. Once you speak with an attorney, you will know exactly what to do to ensure that you and your loved ones continue to maintain a roof over your heads as we all try to navigate life through this pandemic.