When people go to the settlement table, they don't ever think that they're going to lose the home that they just purchased. It takes most people years to put themselves in a position to buy a home and the road is an emotional one.
In the beginning, many start by setting a budget; Cutting back on nights out, shutting off the cable, shopping at discount stores, picking up a second job, getting help from relatives and the list goes on and on. Adjusting to that lifestyle can be a struggle initially, but if the desire to reach the goal is strong enough than to many, it's worth the sacrifice. In the end what keeps many people going? Hope.
So the years of saving go by and they're finally ready. They find a lender and get a pre-approval and they start looking at houses. All the while telling they're friends and family about it, they're excited and they can really see themselves in a house! Maybe even with a family, or maybe with a solid investment for their financial future. The hopes and possibilities are limitless.
Settlement day comes and goes and they're handed the keys. A surreal experience. Looking back it may have been a long road with some struggle, but they did it and the satisfaction they feel in unparalleled to anything they've ever experienced. A dream come true, a mere hope turned into a reality.
Life throws everyone curve balls and many of those curve balls we're simply not ready for. Some of the top reasons that people go begin to miss mortgage payments are, death of a primary owner, loss of job, bankruptcy, and long term illness causing high medical costs. When people are hit with a death in the family, or they lose a job or someone gets sick he shock wave of that incident alone can cause chaos in a home. But when the late notices start coming from the mortgage company, many people push them to the side hoping that things will turn around and they'll be able to get caught up. Time goes by and the notice increase and chances of recovery get smaller.
Turn back the clock to the time when they were pinching pennies
and spending Friday nights at home. Working 12 hour days with 2
jobs and begging family members for some additional down money.
On top of that, maybe they've started that family they dreamed of
and there are children involved. Or maybe they've built a business
around the cash flow that this property brings. It a VERY emotional
situation. .
People work so hard for so long to buy and maintain a home that they can be completely unwilling to accept the facts of the matter. It's completely understandable and a natural thought process to fight for and preserve their home. But the foreclosure process is a beast and is completely unemotional. The only thing the bank wants is it's money and your unwilling or unable to pay then the house WILL be sold at a Sheriff's Sale. That's the reality.
When I sit down with a family that's facing a foreclosure the first question I ask them is " what is your plan A and what is your plan B? " Most people that I have dealt with don't have either so I explain to them exactly what all of their options are given their specific situation. It is absolutely crucial that a family facing foreclosure be willing to accept the situation that they're in, no matter how difficult it is. Once they're accepted the problem then they can start taking action toward the solution.
After all of the options have been laid out and a family has made a decision on what's best for them, they must take rigorousaction to avoid foreclosure.
Selling a house that's facing foreclosure is a very specific matter. The house will not be marketed like a "normal" listing primarily because there are time constraints and the house may even be worth less than what is owed.
When a family has opted to sell the house, it's crucial that they be willing to do whatever it takes within their ability to get the home sold. The task at hand is to utilize every recourse available to market and promote the home and get a written offer to purchase prior to the sheriff sale date.
This may seem like the best case in a worst case scenario and in many ways it is. The alternative for many families that don't take action is to literally get thrown out by the local sheriff. It happens everyday. However, it doesn't have to end up like that if a family is accepting of their situation and informed of their options and take immediate action as soon as the first notice comes in the mail.
Chris Edwards
Realtor
610-692-6600 x 319
chris.edwards@century21.com
http://www.facebook.com/Keepitrealestate
