Hello Neighbors,

Depending on what part of the country you live in, the recession may have affected some a little more than others. For us who live in the metro Atlanta area, we know the recession has made a pretty major impact including forcing some families to face foreclosure on their homes. However, there are others options available for those who may be facing foreclosure but not wanting to take that route such as:

Reinstatement: Although this option is considered the simplest solution it is also the most difficult. A reinstatement consists of a homeowner requesting the total mortgage amount owed to their mortgage company and then paying it. Reinstatements do not have to be approved by the lender. This option can reinstate a mortgage up to the day before the final foreclosure.

Forbearance or Repayment Plan: This particular option consists of the homeowner/s coming to an agreement with the mortgage company to repay back payments over a certain period of time. The homeowner/s will make the current mortgage payment as well as a partial payment on the back payments owed.

Mortgage Modification: This option reduces one of the following: the loan's interest rate, principal balance, term of the loan, or all of the above. These reductions typically produce lower payments for the homeowner/s and affordable mortgage.

Rent the Property: If a homeowner's mortgage payment is low enough that market rent will permit it to be paid, the owner can switch to a rental property and use the monthly rental payments towards the mortgage.

Deed In Lieu Of Foreclosure AKA 'Friendly foreclosure: For this option, homeowners are required to move out of the home and they are allowed to return the property back to the lender opposed to going through the process of foreclosure.

STAY TUNED FOR THE OTHER 5 OPTIONS/SOLUTIONS FOR HOMEOWNERS IN FORECLOSURE.