Stop Foreclosure: The Secret Your Lender Won’t Tell You That Can Help Save Your Home

A Message from the Editor

If you’re facing foreclosure this holiday season, we sympathize and hope that you’ll find your way through this difficult time. In spite of it all, enjoy the holiday. And, hold on to friends and family for they are the most important “asset” you will ever have. 

Happy Thanksgiving from Foreclosure Business News!

Now, on to today’s post.

What Is the Secret that Could Stop Foreclosure?

There’s an eye-opening secret many homeowners should know about that can alleviate the worry of foreclosure, and get them on the road to saving their home. Your lender won’t tell you about it because they realize that if you know, you operate from a position of power, not fear.

Stop Foreclosure: The Main Reason Homeowners Can Keep Their Homes

It’s simple – the bank doesn’t want your home. In fact, they want you to stay in it. Even if you’re behind, they STILL don’t want your home. “Huh,” you may be thinking, “if they don’t want my home, then why are they threatening to take it away from me?”

Stop Foreclosure: The “Games” Lenders Play

In order to understand why banks don’t want your home, it helps to understand the games – for lack of a better word – they play.

It’s in the bank’s favor for you to believe that they want your home. They know that you will beg, borrow, steal and scrimp to do everything in your power to hang onto your home – even when it’s beyond your financial capacity to do so.

This is why many won’t work with you to stop foreclosure – at least initially. They figure that if they threaten you with foreclosure, you’ll somehow pay.

Then, when it becomes evident that you really can’t continue to make your mortgage payment and you start falling behind, they start to cave and offer solutions like home loan modifications, home loan reductions and home loan refinancing.

Stop Foreclosure: Why Being Late on Your Mortgage Payment Can Actually Work in Your Favor

You know, just like credit card debt for example, falling behind on your mortgage can actually work in your favor. While it doesn’t make any common sense – really, who WANTS to fall behind on their mortgage payment – it’s actually when lenders start to take seriously that you can’t pay.

Instead of you being afraid, then THEY become afraid that you’re going to simply walk away, which is what many homeowners have done since this foreclosure crisis start in the fall of 2007. When a homeowner walks away, the lender is left holding the financial bag.

Foreclosure Costs: $78,000 to Foreclosure on a House & Only $3,300 NOT To

According to the post, Foreclosure costs explained: $75,000 per house, on BloggingStocks.com, the overall costs associated with foreclosing on a home is $78,000. And the cost to stop foreclosure? A mere $3,300. The post states:

A report by the Joint Economic Committee of Congress estimates that the average cost of a foreclosure, to the homeowner, lender, local government, and neighbors (whose homes decline in value), is $78,000. By contrast, preventing the foreclosure would cost $3,300 per home on average.

And this is the real reason banks don’t want your home. They’re in the business of lending money . . . not buying and selling homes. You see, when a bank forecloses, they then have to pay property taxes, HOA dues, fees to maintain the property, fees to secure the property from vandalism, vagrants, etc.

And, they have to do this for months . . . or perhaps even a year or two until the property is resold. This can cost them a fortune.

So, even though you may fall a few months behind, it’s in your lender’s favor to work with you. Many of them are finally realizing this. This is why the first step in stopping foreclosure is to call your lender.

Remember, you’re not as bad off as you think. You DO have the power to stop foreclosure in most cases. Get more specific info (actually 7 really good detailed tips) on how to stop foreclosure in the video below.

Qualify for a Home Loan, Even with Bad Credit

Has a past bankruptcy, foreclosure, or other bad credit challenge stopped you from applying for a home loan? Need to know how to qualify for a mortgage in spite of these credit challenges? Now you can get the mortgage qualification info you need.

P.S.: Business Opportunity: Learn how to secure your financial future (want to retire early) by buying foreclosures cheap.

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Copyright © 2009 Yuwanda Black for Foreclosure Business News. Article may not be reprinted or reproduced in any manner without the express, written consent of the author.