Loss Mitgation and Foreclosure Prevention
Many Americans are struggling with their mortgages and don't know where to turn. Stewards of Capital's Loss Mitigation Specialists can help you and your family review your different foreclosure prevention options and help you make an educated decision.
Short Sales
Short Sales were developed to give homeowners a way to settle their mortgage debt without going through a foreclosure. The goal is to help you sell your home in a short sale and settle your mortgage debt if you owe more on your mortgage than your house is worth and are unable to qualify for a home loan assistance program. In many cases, you may be eligible to receive financial assistance to help you with relocation and additional incentives.
While a short sale will still have a negative effect on your credit, it generally takes less time to complete than a foreclosure, so your reported delinquency could be shorter. As a result, your credit may improve faster. If a short sale is completed on your property, we will report that your loan was "paid in full for less than the full balance."
Strategic Default
Distinguished economists acknowledge that strategic default is the inevitable result of the collapse of the finance and property bubble of the era following 2006. It is one of the few ways ordinary, hard working American's are freeing themselves from the burden of their underwater mortgage debt. Once free of the mortgage, debtors are free to use their income for other, more important expenditure.
People approaching retirement age, who never missed a mortgage payment in their lives, are trapped. They can't sell their home or get a modification, and as a result, the only viable solution is to downsize and delay retirement. Attitudes towards default have also shifted. Back in 2008, people were very emotional, scared and in disbelief or denial. Today, however, it's a calculated, black-and-white business decision. Your lender is making business decisions... now you can too.
Foreclosure Prevention
If you home is in foreclosure, this can be an extremely difficult time for you and your family, and it may appear that you have few or no available options. You may feel like you've lost control and can't determine when, or if, you can vacate. In this case, you may be able to voluntarily transfer your mortgage to the owner with a Mortgage Release (Deed-In-Lieu). After being approved for your mortgag transfer, you may even be able to stay in the home for up to 3 months rent free or as a renter (paying market rent) for up to one year.
With Mortgage Release, you transfer the ownership of your property to the owner of your mortgage in exchange for release from your loan and payments. Flexible exit options let you choose to vacate immediately, stay for up to three months, or lease the home for up to one year.
