Home Mortgage Foreclosure

Learn About the Ways to Prevent Mortgage Foreclosure

Due to the upheavals in the real estate market that began in 2007 and continued through 2008, many homeowners have had to face the prospect of mortgage problems in a falling market. As distressed and foreclosed properties have saturated the market, thousands of people have seen their equity vanish at the same time that adjustable rate riders have increased their monthly payments.

If you need advice about the most effective strategies for resolving mortgage defaults and the threat of foreclosure, contact a knowledgeable attorney at The Fried Law Firm in Bethesda.

On behalf of Barbara Andelman, Executive Director of NACBA:

The Obama Administration went on record February 18th, 2009 endorsing legislation to allow for modification of mortgages in chapter 13 bankruptcy. This change in the bankruptcy law is part of the broader housing/foreclosure package that was announced by President Obama in Phoenix.

Call 866.439.0886 for advice about mortgage foreclosure problems

Among the approaches that our lawyers will consider and discuss with you are the following:

• Working with a real estate broker to sell your house on favorable terms
• Dealing with your mortgage lender or service company toward a modification of the original mortgage terms
• Negotiating a short sale of your property with forgiveness of any deficiency you might owe on the mortgage debt
• Dealing with junior mortgage holders, such as home equity lenders, private lenders, small business lenders or holders of judgment or tax liens
• Filing bankruptcy under Chapter 7 or Chapter 13 to stop a foreclosure and buy time either to resolve your problem on better terms or cure arrearages in a debt repayment plan

If a mortgage foreclosure has begun, filing for bankruptcy will interrupt the proceedings, but it won't necessarily relieve the problem. If you have negative equity, the main benefit of bankruptcy might well be the chance to either renegotiate your mortgage terms or give yourself time to move out on more convenient terms.

If you have substantial equity or find yourself committed to staying where you are, Chapter 13 will allow you to pay mortgage arrearages over a period of three to five years, while resuming your regular payments. The key variable here is your practical ability to stay current on your payments while performing on your Chapter 13 plan.

While the right approach in your situation will depend upon your specific facts, you can depend on The Fried Law Firm to provide the guidance and representation you need to achieve the best available result.

To learn more about our ability to protect your interests in a mortgage foreclosure case, contact us in Bethesda for service throughout Maryland and metro Washington, D.C.