Options for avoiding foreclosure

Once you are facing foreclosure there are a few options that could help you stop the inevitable.

• Short Sale: In this case the lender approves sale of the home for less than what you owe.
• Deed in lieu of foreclosure: This allows you to transfer your property voluntarily to your lender.
• Assumption: This permits a qualified buyer to assume the current mortgage and take over the payments. If you have an FHA loan, you may have additional options available to you. For example, HUD provides interest-free loans to repay past-due interest and escrow amounts.

It’s important to check with your lender for details. Not all lenders will approve these options and it is required to get their approval.

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