Last Minute Tricks to Stop Foreclosure Arvada
Foreclosure is one of the last things any homeowner would want to be faced with and despite everything, there are a number of last minute strategies you can employ to stop foreclosure Arvada.
It’s not unusual to fall behind on your mortgage payments, which is why many people have been facing the fight to stop foreclosure Arvada. The good side of the story is that you can be able to save your house even when the foreclosure notice is knocking on the door – and this article discusses some of the most reasonable options anyone facing foreclosure in Arvada can use to stop the whole process.
File for bankruptcy
This is the most common and easiest way to stop foreclosure not just in Arvada, but also in other states or even countries. If the foreclosure sale is set to take place in a few days’ time, you still have room to file for bankruptcy, an action that will automatically stop foreclosure. Once you file for bankruptcy, an automatic stay clause will be activated.
An automatic stay is simply an injunction that prohibits lenders from foreclosing the house or even trying to collect the money that you owe them. In short, as long as bankruptcy has been filed, any foreclosure activity will be halted. However, note that the lender may also file a motion for the relief from the automatic stay and if granted, they will still come for you. The good side of the story is that filing for a relief and approval by the court won’t take a day, which should buy you some more time to work out things or seek other alternatives.
Bankruptcy comes in two forms. There’s Chapter 7 and Chapter 13 bankruptcy. If you want to simply buy some time by dragging the foreclosure, the former is your best bet, but if you want to keep the home, you’d be better off with the latter. As you can see, there are already some benefits involved in each case.
For instance, Chapter 7 bankruptcy will buy you time to find a solution to the foreclosure notice and while doing so, you won’t pay for the house. When already in a foreclosure, this option is not the best, but even if the lender successfully proceeds with foreclosure, this channel will ensure that you won’t be liable for any debts remaining after the foreclosure.
As for Chapter 13, the major benefit is that you get to keep the home by basically restricting the debts involved. Unlike Chapter 7, you will still repay your debts, but this payment will be distributed between 3 to 5 years. In case of any mortgage payments, you can still pay them via this plan, which should really help you keep the house and at the same time stop foreclosure Arvada.
At the time of completing the payment plan, you may end up getting a number of benefits as well, among them paying a fraction of your unsecured debts during the entirety of the debt plan or even eliminate some debts completely, thus meaning you’ll have some extra money to kick off your mortgage payment.
Apply for loan modification
Another channel you could use to stop foreclosure Arvada is to apply for a loan modification. It’s not the best idea to wait until the last minute when it comes to applying a loan modification, but once applied, you can stop foreclosure by restricting the lender from dual tracking, that is, proceeding with the foreclosure yet there’s a pending loss mitigation process. If this process is approved, the foreclosure will be stopped permanently as long as you are able to keep handling the modified terms of payment.
File a lawsuit
There are some lenders that will proceed with foreclosure without going through the right legal channels. If you are dealing with such a person, you can file a lawsuit against the foreclosure, but you’ll still have to prove to the court that the lender shouldn’t proceed with the foreclosure, otherwise, this will be a waste of time and resources that could have been directed to settling the matter with the lender.
Stop foreclosure in Arvada through a quick house sale
The last option on the list of last minute strategies you can use to stop foreclosure in Arvada is to sell the house fast. With companies that buy houses for cash such as Denver Property Flip, you’ll have an easier way to deal with foreclosure. Since your lender wants money, selling your house will get you their money and even leave you with some to start off a new life.
Denver Property Flip is not so far away, just call on (720) 370-9595 and you’ll have someone attending to your needs immediately.