What Happens If I Stop Paying My Mortgage?

When you start defaulting on your mortgage payments, the inevitable and consequent result would be facing foreclosure. This takes some steps to finally be effected. The earlier you start working on a way out, the better it would be for you.

Foreclosure processes

Foreclosure is a legal means by which your home is taken away from you and sold to recover the loan balance. Before the final foreclosure notice is issued, you would receive a series of notifications in sequence before the final foreclosure, eviction and sheriff sale are implemented. These processes not only make you lose your property, but also leave you with damages on your credit worthiness.

Foreclosure damages to your credit score

When you go through foreclosure, your credit level is greatly affected. This will definitely affect your application for other loans or credit facilities later on. The bad thing here is that it would take a period of at least seven years to get this off your financial report. That is the reason why many homeowners would seek other options to avoid foreclosure as much as possible.

Avoiding foreclosure

To avoid foreclosure, you can take some steps as soon as you can. One of these steps is starting  a loan modification process with your loan modification attorney. You can contact a loan modification firm like loanmoddepot.com for more assistance on various methods to avoid foreclosure.

You can even stop a foreclosure completely with the prevailing laws guiding on how to stop a foreclosure situation. You should contact your loan modification attorney as well to get help in this regard. Loan modification personnel are well equipped to help you in legal matters and it is important for you to get the right company which would be of real help.