The number of home foreclosures in the US is a good new/bad news story. The good news is that the number of foreclosures is at the lowest level since 2007. The bad news is that the number of properties receiving foreclosure filings in 2013 was a whopping 1.36 million. To the 463,000 people who lost their homes that year, there was no good news at all. Some speculate that the primary reason for the drop in foreclosures was simply that those who were the most vulnerable had already lost their homes.
One home out of every 96 is currently threatened with foreclosure. That isn’t just a number. That’s a family who has suffered some sort of financial catastrophe. Perhaps there was a job loss or a serious illness and overwhelming medical bills. Frequently, the need to keep the lights turned on and food on the table has led to the overuse of credit cards, compounding the financial mess. Eventually, it becomes impossible to keep up with the mortgage payments. First one falls late, then another. Phone calls and letters from all creditors, including the bank, become too much to handle.
Chapter 13 bankruptcy may provide the means to keep the home. In order to qualify, the homeowner must have sufficient income to make the monthly mortgage payment as well as a monthly payment to creditors, particularly for the past-due mortgage payments. In fact, in some cases it will also be possible to ‘strip off’ second and third mortgages so that they do not have to be repaid. The repayment plan will last 3-5 years. As long as all payments are made, the homeowner will keep the home. During the repayment period, the homeowner will be expected to stick to a strict budget. It’s not an easy process, but at the end they will have the home and be in a much sounder financial position.
Someone who is worried about a current or expected Foreclosure in Glendale AZ should not delay seeking assistance. Once a foreclosure notice has been filed, the clock starts to tick. The more time passes, the more difficult it will be for the homeowner to remain in their home. Anyone who wants to prevent Foreclosure in Glendale AZ should schedule a free 30 minute consultation with Asheton B Call. His law firm has been federally designated to provide guidance in the areas of bankruptcy and debt relief.
