If you live in Wyoming and are facing foreclosure, you can stop a Wyoming home foreclosure through refinancing, a loan modification and selling in pre-foreclosure.
If you live in Wyoming and are facing foreclosure, know that there are ways you can stop a Wyoming home foreclosure. These options include refinancing, a loan modification, selling in pre-foreclosure and giving your home back to the lender.
Loan Modification
Aloan modification is one way to stop Wyoming home foreclosure and keep your home. You should consult your lender to see if you are eligible for any of its internal modification programs. If it doesn’t offer modifications, then you may qualify for a government program.
You may be able to modify your home loan through the federal Home Affordable Modification Program (HAMP) if you are not employed and can afford to make a reduced mortgage payment. This program was recently expanded to help more homeowners. You may be eligible for HAMP even if you did not qualify a year ago or if you defaulted on a HAMP modification previously.
Home Affordable Refinance Program
You may also qualify for the federal Home Affordable Refinance Program (HARP) if you owe significantly more on the mortgage than your home is worth because it lost value when the real estate bubble burst. This option is ideal if you do not qualify for a traditional refinance because your home’s value has dropped. You must be current on mortgage payments to qualify and your lender must be a HARP program participant.
Principal Reduction Alternative Program
Another way to stop a Wyoming foreclosure is the Principal Reduction Alternative Program (PRA). If you owe more on your home than it is worth, your lender will reduce amount you owe which will reduce your mortgage payments for the life of your loan. You must have gotten the home loan before Jan. 1, 2009 and prove financial hardship to qualify.
Research your home value here to see if you qualify for PRA.
These are not the only ways to stop a Wyoming home foreclosure under the federal Making Home Affordable (MHA) umbrella. A MHA housing counselor can help you determine which option is best for your situation. Possibly, you cannot afford your mortgage even if it is reduced. In that case, you may sell your home in pre-foreclosure or request a Deed-in-Lieu of foreclosure (DIL) from your lender. MHA has programs to help you with both of these options, or you may work with your lender to do them without the help of MHA.
Short Sale or DIL
A short sale is an option for Wyoming home foreclosure stoppage. Your lender must agree to accept a payoff less than you the amount you owe on your mortgage and you will need to find someone to buy your home. You can sell your home in a short sale through the Home Affordable Foreclosure Alternatives (HAFA) Program. If you qualify for the HAFA program, you may also qualify for up to $3,000 in relocation money.
DIL is also an option through HAFA or directly from your lender. In this option, you give your home back to the lender. If you get a DIL through HAFA, your lender must forgive the remaining loan balance. You also may qualify for relocation money. Both a short sale and a DIL do less damage to your credit than a foreclosure.
If you are in financial distress, your home value has dropped or you face foreclosure for any reason, there are ways to stop this process. Talk to your lender and a MHA housing counselor. If you decide a short sale is the best option, you can find a real estate agent who specializes in short sales at Reply!