When you purchased your home you never thought you’d get behind on your payments. You never thought you’d have the bank sending you letters about late payments or past due payments. Below are a few ideas on how to prevent it from happening and what to do if it does occur.
Be careful of what you buy –
Can you buy more than you should? Yes, sometimes that is possible.
Can you buy more than you can take care of? Yes, but please don’t.
Talk with your lender and your agent before you start home shopping and stay in that price range. Even though it is more fun to buy a little more, something a little nicer, something a little prettier, don’t over extend yourself. If you can’t pay for it today – don’t buy it! Don’t borrow money with the plan of getting a raise. You never know what the future holds.
Be careful about your loan –
Before you sign, understand what you are signing and what you are agreeing to. Make sure you know what you are committing to. Does your loan have a prepayment penalty? Does your loan have a low payment for the first year and then it increases? Is your loan a fixed rate or variable rate or is it interest only? Make sure you know what you are agreeing to and what your responsibilities are. Know what you are signing BEFORE you sign!
If you get behind on your payments –
Life is hard sometimes but hiding from your problems is never the answer. If you are behind on your mortgage payments contact your lender right away. In fact, if you think you are going to be late on your payment go ahead and call them NOW. If you ignore the lender or pretend it isn’t happening or act like you are uninterested in what happens to your home, your lender will not be as quick or willing to help you. Also, you may contact a HUD approved counseling agency 800-596-4287 or the Hope Now Alliance at 888-995-HOPE.
To participate in the new bill beginning October 1, 2008 and lasting until September 30, 2011 Hope for Homeowner’s rules require that the participants be owner occupants and meet the following criteria.
These loans will be 30 year fixed rate mortgages, a maximum 90% Loan to Value ratio, $550,440 maximum loan amount, no prepayment penalties, extinguishment of any subordinate liens and have a new appraisal from an FHA approved appraiser.
Don’t wait. If you are struggling CALL someone! Call your lender if you want to stay in your home. Call your College Station/Bryan/Brazos County Realtor if you are ready to sell and move on. Call Century 21!