According to an article in the Star-Telegram, the number of borrowers who were 60 days or more delinquent on their mortgage payments rose to 5.22 percent for the first three months of 2009. That’s 62 percent higher than last year. This is a smaller percentage than reported by the Mortgage Bankers Association; but still alarmingly high. Most homeowners who have become delinquent on their mortgage payments find it difficult to catch-up and avoid foreclosure . After 60 days of missed mortgage payments, the possibility of foreclosure rises. As we have mentioned previously, the increased number of job losses isn’t making the foreclosure crisis any better. For those who have suffered job losses, foreclosure may seem like an unwelcome but inevitable reality.
Options for Homeowners Facing Foreclosure
Fortunately, there may be some other options for homeowners facing foreclosure, especially if they still have some income or savings. Filing bankruptcy can help homeowners discharge unsecured debt and stop foreclosure. If a homeowner has faced a significant drop in income because of a job loss, he/she may be able to use bankruptcy to stop foreclosure, discharge unsecured debt and free up cash to pay their mortgage.
Considering Bankruptcy to Stop Foreclosure?
If you’re a homeowner facing foreclosure and would like avoid foreclosure and save your home, feel free to set up a free consultation today by giving us a call or filling out our contact form .