When you and your family are facing financial hardship, your mortgage payment may be one of the largest expenses you have. It also may also be one of the easiest to forgo when other, more pressing bills take precedence. However, when you fall too far behind on your home mortgage payments, your lender may force your home into foreclosure. Even if this happens, there are some options you should know about before letting a lender take over your home.

Foreclosure is the term for what happens when payments stop being made on the mortgage and the homeowner begins to lose their right to the property. Banks or other financial institutions will take over ownership and can sell the home to repay the unpaid loan.

What to Ask About Before Accepting Foreclosure

The first step you should take when facing foreclosure is to talk with your lender to see if there are any terms that can be worked out until you get on your feet. The next step may be to consult with a bankruptcy attorney to figure out what options you may have moving forward. If you are facing foreclosure, there are a few options you should be aware of, as they may help you keep possession of your family home.

Ask your financial lender and bankruptcy attorney about:

• Changing or modifying payments so that they are more affordable
• Allowing no payments to be made for a short time so you can get financially stable
• Refinancing with a lower interest rate
• Federal programs that may apply to people in your situation
• Deed in lieu of foreclosure which may cost you the home but save you from foreclosure
• Reinstating the defaulted mortgage by paying back the entire defaulted mortgage amount
• Complete payment of the mortgage which places complete home ownership in your hands

No one should be left without a home because they fell behind on a few of their mortgage payments. Working with a bankruptcy attorney can help you negotiate with lenders to alter the terms of the mortgage or allow you to walk away from your home if that is the best option.