These three ways to stop a foreclosure sale can show you how to save your house from foreclosure auction even if the mortgage foreclosure process was started simultaneously with your lender's mortgage modification denial.
The lender sending your account to the attorney to begin the mortgage foreclosure process can give quite a scare, but nothing has happened yet that you can not fix.
The Lender's Way To Save a House From Foreclosure Sale
The first obvious way to save a house from foreclosure auction is when you can afford to make full payment or if you can get the money together to pay off the missed payments.
Only do this if you can afford to continue to make the monthly mortgage payment.
If that is not an option, the next option your lender wants is a repayment plan. That would mean making larger than normal monthly payments until caught up. This is not usually an option or the loan would not have gone delinquent.
Here Is The First Way To Save A House From Foreclosure Auction
If you have not already applied for mortgage loan modification then do so now. This will halt the foreclosure process while being considered for the modification and buy you some time.
If you have already been denied for a modification then request that your denial be escalated to the executive level for review of denial.
Fax In or send online at lender's website A Written Request For HAMP Modification or escalation to executive level if denied: You should immediately fax in a written request for HAMP Modification with a cc of the HAMP Request to the CEO and Legal Dept. Specifically ask that your account be re-evaluated for HAMP eligibility and briefly explain (one or two sentences) that you had a hardship brought on by divorce, attached the hardship letter, proposed loan modification, along with all documents and forms needed for the loan modification.
Send All Needed Documents For Loan Modification: Download the required forms from the lenders website and use them. You will need at least 2 months of pay stubs, bank statements, copies of tax returns, IRS Form 4506T or IRS 4506T-EZ, Request for Modification and Affidavit (RMA) or Hardship Affidavit, hardship letter and send them a budget that matches the modified loan payment you are proposing.
Hand Write A Hardship Letter Make a hand written hardship letter, very short and to the point, explain what the hardship is, why there is a hardship and the handling and how long you will need modified payments for.
Two More Ways To Save your House From Foreclosure Auction With Qualified Written Requests
Here is the next of the ways to stop a foreclosure sale with Qualified Written Requests which will help force your lender to renegotiate your mortgage terms:
Make a Qualified Written Request for a copy of the mortgage note with all endorsements and copies of all mortgage assignments (Simply write Qualified Written Request at the top of the page). It is not likely that they can produce the note and assignments or they will not have the required endorsements showing they own the mortgage and this will usually stop the foreclosure in its tracks. Banks have been hammered on this in the courts when they foreclose and can not produce the required documentation. They have to falsify documents to foreclose if they do not have the note in their possession. Often the lender can not produce the documentation unless it is a very old loan.
Also make a Qualified Written Request for the name of the investor and contact data for that investor. (It is best to deal directly with the investor when the mortgage servicer is not cooperating, servicers will try to stone wall that one.) This is a valid request but you may have to go to a title company and pay them to do the search to get the information, if it was properly recorded.
Don't worry if the search does not produce results. This is still information you can use.
Send this letter to your mortgage servicer but modify it to be a Qualified Written Request. Change "Re: My request for a copy of the Promissory Note" to "Re: My Qualified Written Request for a copy of the Promissory Note". This may not seem like a big point but is a consumer protection point that has federal regulation that lenders are required to respond to on exact timelines. Add to the letter "with endorsements" and add "and copies of all mortgage assignments". The line should read "Please produce for my inspection within ten days the Promissory Note which I signed on [date note was signed] , and copies of all mortgage assignments."
If you are in a judicial foreclosure state foreclosure proceedings will be conducted in court and once you have been notified of this you need to file with the court a legal request for the note and mortgage assignments. You will need to modify this letter as well by adding "with endorsements" and "and all copies of mortgage assignments". The line should read "the original Promissory Note with endorsements signed by Defendant on [date you signed the promissory note] and all copies of mortgage assignments."
If the documents are not produced in a reasonable amount of time you now step it up to the next level and file a motion to compel. You will need to change the occurrences of "document" to "documents".
If you are in a non-judicial foreclosure state you will need to send the qualified written request first and if no response then you will need to file suit on the lender to stop the foreclosure challenging the servicer's right to foreclose and will file the above documents with the court as the Plaintiff. You can do it yourself, hire an attorney or go through legal aid. You can ask the court for help on how to do this.
The next strategy to stop a foreclosure sale and save your house from foreclosure is challenging the notary book. This goes along with robo-signing. Notarized signatures have legal issues that must be met to be valid and therefore if challenged can also invalidate documents that are improperly notarized.
Go Directly To Investor That Owns Your Mortgage To Save House From Foreclosure Sale
This can be your most powerful of ways to save a house from foreclosure sale. You want to be able to communicate directly to the investor when at all possible.
The servicer usually will not willingly help you do this. Servicers are paid so the investor does not have to deal with homeowners.
It is a lot easier for the investor to deny a mortgage loan modification to the servicer without ever seeing a hardship letter or hearing from the homeowner. Getting a hardship letter or phone call directly from the homeowner the investor is about to kick out of their home is a lot harder to do. The homeowner and family become real people the investor now knows, not just an investment to cut losses on.
The easiest way to do this is go to your local Tittle Search Company and pay them to find out who owns your mortgage and how to contact them.
You can try doing it yourself by going to county records. Ask the clerk how to find out who owns your mortgage and they will help you. If they are real busy and not very helpful, tell them you really need their help to save house from foreclosure and ask when would be a good time to come back, so they could help you. They will show you how to look up the information and may even do it for you.
Try to go when they are not busy. Call ahead and ask what is the best time to come as you will need their help to find out who owns your mortgage.
There You Go, Three Ways To Save House From Foreclosure - 1 Request HAMP Modification - 2 Show Me The Note & Mortgage Assignments - 3 Challenge The Notary Book
All three ways to save house from foreclosure sale work, but they work best when all three are used together. Any one of the ways to stop a foreclosure sale may totally handle your situation but why hold back.
Put all three of the ways to save house from foreclosure to work for you right away and always try to deal directly with the investor if your servicer is not working with you.
DIY Loan Modification Kit Are you looking for a DIY Loan Modification Kit that will walk you through the entire process of modifying you loan? Then read on.
What is a Foreclosure? Get real answers to - What Is A Foreclosure? Can I Save My Home? Understand what you need to do to save your home even if your home is sold at a mortgage foreclosure auction.
What Is Loss Mitigation? Get answers to Home Loss Mitigation questions - what is home loss mitigation, what is the loan loss mitigation process and how you can benefit from the process.
The Upside Down Mortgage Loan Modification Blog The Upside Down Mortgage Loan Modification Blog - Find out what's new on the site, stay up to date with the latest developments in Residential and Commercial Modifications as well as Government Mortgage Assistance.
Modification Answers Home Page Get real answers to the real questions on mortgage loan modification, government mortgage assistance, government help to stop foreclosure and other loan modification and foreclosure questions. Do I qualify for a loan modification? Can I save my home?
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