Can't Pay Mortgage? Here Are 4 Things You Must Do

If you are like most people, then you also want to dispense with your bills on time. Telephone bills, electricity, water bills, credit cards, home mortgage loans, etc. For apart from the extra surcharge you incur for delayed payments, you face potentially time-consuming mitigation costs.


To avoid these inconveniences, you pay these bills in time. As long as you have the means, that is. But there always comes a time when you miss your payments— like home mortgage monthly dues– no matter how much you wanted to. Maybe you incurred injury and got hospitalized. Or perhaps, your business venture failed, you lost your job, or for a host of other reasons.
If you are in this predicament, real estate experts offers the following advice:

1.) NOTIFY YOUR LENDING BANK IMMEDIATELY
The keyword is “immediately”. Not next week or next month.
Three years ago, a well-known laptop computer company imposed downsizing and terminated several employees, among them were Mark and Roger. Mark, who was more proactive than his buddy, immediately contacted his lender and explained his predicament.
As a result, his lending bank made significant loan modifications to the home mortgage contract. Mark was able to keep his home.
On the other hand, Roger missed several mortgage payments and ignored his lender’s repeated demand letters. Such poor decisions cost him a great deal. Roger eventually lost his home to foreclosure.


2.) SEEK THE ASSISTANCE OF A HOUSING FINANCE COUNSELOR
“Contacting a bank and telling them you can’t pay your mortgage loan seemed intimidating task to most people, “advise the experts. “ These homeowners feel embarrassed discussing these matters with their lenders. If you are among the shy-type of homeowners, I suggest you contact a housing counselor whom you can trust and feel at ease. “
Housing finance counselors offer free advice. They review your financial status. At a modest fee, they can make the necessary arrangements or representations with your lending bank so you can keep your home through loan modification or other repayment schemes best suited to your particular need.

3.) TAKE CHARGE OF YOUR FINANCES
Financial difficulties always entail budget tightening and other painful decisions. Take a hard look at your finances and carry out drastic cost-cutting measures. Stay with the basic needs. Scrimp and save. Consolidate your credit card debts. Dispense whatever luxury items you may have— like that dusty home trailer in the garage or that family boat that had been lying dormant for so long at the harbor.
And yes, you may have to forego that summer vacation at the Caribbean.

4.) AGGRESSIVELY FIND GAINFUL EMPLOYMENT OR VENTURE
The Matthews family illustrates this point. The husband, Mr. Matthews who was a specialist in computer software and hardware, was suddenly stricken with a stroke that left half of his body paralyzed for life. The company then terminated him.
Since he had a wife and two school-age kids to support, he didn’t let his illness stand in the way of earning money. To begin with, he hired carpenters and converted their garage into a shop. Afterwards, he engaged in buy-and-sell business on used computers. His sympathetic wife sent ads and scoured the area for any computer for sale then negotiated for discounts. After making relevant upgrades on those old PCs, Mr. Matthews then sold these computers at a modest profit.


In addition, he offered IT-related consulting services to big time companies on a retainer basis. When a difficult hardware or software problem occurs in company computers that in-house technician could not troubleshoot, the affected company will call Mr. Matthews by phone. He will then discuss the necessary solutions to in-house technicians. Companies pay Mr. Matthews for such services, plus a small monthly retainer’s fee.
His efforts finally paid off. He was soon earning more money than when he was employed full time in his previous work. Mr. Matthews managed to pay all his delinquent home mortgage loan bills. And the good part was, he just stayed in the house and enjoy bonding with his kids. Now, he had a small thriving consultancy firm with three personnel.
“Remember, your house is at stake when you miss paying monthly mortgage dues, “real estate experts explain. “ By being proactive and doing these steps listed above not only save you from much headaches but can also save your home from being foreclosed.”