First and foremost the most important thing to do is to inform your mortgage company that you are having difficulties making your payments. The worst mistake that you can do is to avoid them when they call you because you are falling behind on your payments.

In many cases the mortgage companies are willing to work with the borrowers, in which case they will need to take some information from you that will help them determine what options they can offer you. The bank will initially try to offer you a payment plan that will allow you to make your regular payments and a little bit extra in order to catch up and postpone the foreclosure; this is referred to as a “Forbearance Agreement.”

In other cases the mortgage companies will attempt to change the terms the loan in order to make it more affordable for the borrowers. This is usually where you would see the 2nd mortgages dropping their rates. Why would they do this? It’s simple! If your loan forecloses they stand to lose their whole investment since the first mortgage gets paid first in a foreclosure sale. They may also be willing to take most of your delinquent balance and apply it to the end of the mortgage. This option is referred to as a “Loan Modification.”

While the government continues to develop programs that may assist you if you’re on the way to foreclosure; the truth of the matter is that people are still losing their homes. In some cases people exhaust all their savings trying to save their home where foreclosure is inevitable. It is simple – do the math and you’re sure to realize whether or not you can afford the mortgage.

Ok – So you’ve done the math and you know you can’t afford it. This leads you to your last and final option – The RealPro Group. How can we help? In many cases like yours we have been able to negotiate with the banks to allow you to sell your home at a lower price than what you owe them. You may ask, “Is this possible?” Yes it is! And we have the training & experience it takes to get it done. Selling your home this way is called a “Short Sale.”

So call us or e-mail us right now homes@therealprogroup.com to obtain a free consultation!