How to Avoid Foreclosure | eForeclosurePedia

Prevention

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The last things any homeowner wants to do is to lose their family home. No one expects to lose their home to foreclosure, but by understanding the foreclosure process and what may lead to it, you can be in a better position and address problems that may impact your ability to make every mortgage payment on time.

What is a foreclosure? In contract when the borrower signed for the mortgage lender to give money to buy the house, the borrower agreed that if the loan cannot be repaid, that the lender can foreclose to take ownership of the house. If the monthly payment is not made, then technically the borrower is in default on the mortgage. State laws may vary, but generally if a loan is as little as 90 days delinquent, it can be considered a foreclosure.

The lender will send a notice indicating that they will be starting foreclosure proceeding. It’s important to take steps early and as soon as possible to prevent foreclosure.

Freddie Mac: