The possibility of foreclosure is probably the last thing someone thinks about when purchasing a new home, but irresponsible lending combined with an economy in recession has put many homeowners in this unfortunate situation. If you find yourself facing foreclosure, it’s not too late! Call First Month Assist – we can help! The foreclosure process can happen faster than you might think:

• After payments are 30 days late, the foreclosure process can begin and the lender will issue a “Notice of Default.”
• After 60 days, the lender will usually be in contact by phone with the homeowner to try to secure payment.
• After a 90-day delinquency, things usually get really serious and the lender has the option to foreclose on the borrower’s property.
  Your property will be auctioned off after foreclosure, often within 6 months of the first missed payment (this depends on which state you live in).
• The new property owner will initiate the eviction process and the sheriff will remove you and your belongings from the premises if you have not vacated the property by that date.
• Not only is this an unpleasant process, but with foreclosure you may be responsible for paying taxes on any loss of debt.
• With a Short Sale, under the Mortgage Debt Relief Act of 2007, you can exclude income from cancellation of debt!

There are options. Find out more about two of them by using the links below.

>> What is Loan Modification

>> What is Short Sale

If you know that you’ll be missing payments and will have to default on your loan, contact FMA right away so we can arrange a Short Sale and help you avoid the negative impact of foreclosure.