Foreclosure Solutions in Nevada – Short Sale Help Las Vegas
Exclusive Short Sale Help Las Vegas Information
Foreclosure Solutions in Nevada is here to short sale help Las Vegas with one of the most devastating financial challenges that a Las Vegas Nevada family can face and one that many times can be avoided with Las Vegas short sale attorney.
The current U.S. housing market and national financial crisis has caused untold stress and heartache for many Clark County Nevada families. The options available to Las Vegas & Henderson Clark County Nevada area residents for foreclosure are many. Following is a brief explanation of these short sale help Las Vegas in Nevada solutions, including their benefits and drawbacks:
Reinstatement – Foreclosure Solutions in Nevada
A reinstatement is the simplest solution for a foreclosure, however it is often the most difficult. The homeowner simply requests the total amount owed to the mortgage company to date and pays it. This short sale help Las Vegas solution does not require the lender’s approval and will ‘reinstate’ a mortgage up to the day before the final foreclosure sale.
- Benefit: Does not require the mortgage company or lender’s approval. short sale help Las Vegas!
- Drawback: Requires that a homeowner be able to pay all back payments, fines and fees.
Forbearance or Repayment Plan
A forbearance or repayment plan involves the homeowner negotiating with the mortgage company to allow them to repay back payments over a period of time. The homeowner typically makes their current mortgage payment in addition to a portion of the back payments they owe.
- Benefit: Allows the homeowner to make back payments over time. Foreclosure Solutions in Nevada!
- Drawback: Requires that a homeowner be in a financial position to pay not only their current mortgage, but also a portion of the back payments owed. Some mortgage companies will require a homeowner to ‘qualify’ for forbearance.
A mortgage modification involves the reduction of one of the following: the interest rate on the loan, the principal balance of the loan, the term of the loan, or any combination of these. These typically result in a lower payment to the homeowner and a more affordable mortgage.
- Benefit: Reduces the payment a homeowner is required to make on a monthly basis and may reduce the principal balance of the loan. short sale help Las Vegas!
- Drawback: Requires that a homeowner ‘qualify’ for the new payment and will often require full documentation. Lender has to be actively pursuing modifications.
Rent the Property
A homeowner who has a mortgage payment low enough that market rent will allow it to be paid, is able to convert their property to a rental and use the rental income to pay the mortgage.
- Benefit: Allows short sale help Las Vegas homeowner to keep property indefinitely.
- Drawback: The issues that can arise with a rental property are many, and rent often does not cover the full cost of property ownership and maintenance.
Deed in Lieu of Foreclosure
Also known as a ‘friendly foreclosure’, a deed in lieu allows the homeowner to return the property to the lender rather than go through the foreclosure process. Lender approval is required for this option, and the homeowner must also vacate the property. short sale help Las Vegas!
- Benefit: Many times in a successful deed in lieu, the lender will forego their right to a deficiency judgment. Las Vegas short sale attorney !
- Drawback: Requires that a homeowner vacate the property, and a deed in lieu may be reported to credit bureaus as a foreclosure. Foreclosure Solutions in Nevada!
Many have considered and marketed bankruptcy as a ‘foreclosure solution,’ but this is only true in some states and situations. If the homeowner has non-mortgage debts that cause a shortfall of paying their mortgage payments and a personal bankruptcy will eliminate these debts, this may be a viable solution. short sale help Las Vegas!
- Benefit: Does not require lender approval.
- Drawback: If a homeowner cannot afford their mortgage payment, a bankruptcy will only stall—not stop—the foreclosure process. Bankruptcy can be costly, is damaging to credit scores, and can only be declared once every seven years.
If a short sale help Las Vegas homeowner has sufficient equity in their property and their credit is still in good standing, they may be able to refinance their mortgage.
- Benefit: In some cases, this will lower payments.
- Drawback: In today’s market, a refinance will almost always raise mortgage payments, and is an expensive process. Foreclosure Solutions in Nevada!
Servicemembers Civil Relief Act (military personnel only)
If a member of the military is experiencing financial distress due to deployment, and that person can show that their debt was entered into prior to deployment, they may qualify for relief under the Servicemembers Civil Relief Act. The American Bar Association has a network of Las Vegas short sale attorney that will work with service members in relation to qualifying for this relief.
- Benefit: If qualified, this will lower payments on all consumer debt in addition to mortgage payments. short sale help Las Vegas!
- Drawback: Must be active military to qualify.
Sell the Property
Homeowners with sufficient equity can list their property with a qualified agent that understands the foreclosure process in their area. Foreclosure Solutions in Nevada!
- Benefit: Allows homeowner to avoid foreclosure and harvest some of their equity.
- Drawback: In many cases today, homeowners do not have sufficient equity to sell their property without negotiating a short sale (see next solution). Short Sale Help!
Las Vegas Short Sale Attorney
If a homeowner owes more on their property than it is currently worth, then they can hire a qualified Las Vegas short sale attorney real estate agent to market and sell their Las Vegas short sales property through the negotiation of a short sale with their lender. This typically requires the property to be on the market and the homeowner must have a financial hardship to qualify.
Hardship can be simply defined as a material change in the financial stability of the homeowner between the date of the home purchase and the date of the short sale negotiation. Acceptable hardships include but are not limited to: mortgage payment increase, job loss, divorce, excessive debt, forced or unplanned relocation, and more.
- Benefit: A short sale allows the homeowner to avoid foreclosure and salvage some of their credit rating. This also keeps foreclosure off the individual’s public record, and in many cases will allow the homeowner to avoid a deficiency judgment. Borrower may qualify for another mortgage in as little as 24 months (as opposed to five years for a foreclosure).
- Drawback: Short sales can be a trying process in which a homeowner is best served by contracting with a qualified real estate agent to guide the way.
This short sale help Las Vegas program represents only a summary of some of the solutions available to homeowners facing foreclosure. Please call me today for a free confidential evaluation of your individual situation, property value, and possible options.
SHORT SALE LEASE BACK WITH OPTION TO BUY BACK PROGRAM
Homeowners facing a foreclosure may now be able to lease back and eventually buy back their home after a short sale. A newly launched program provides another option for homeowners who can’t afford their mortgage payments or have been rejected for a loan modification. Until recently, the Home Affordable Foreclosure Alternative (HAFA) program requred that a Short Sale Assistance be an “ARMs Length” transaction, meaning the buyer and seller could not have a prior agreement for the homeowner to stay in the property.
A new supplement to the HAFA guidelines ‘amends this restriction to allow servicers the discretion to approve short sales to a non-profit organization with the stated purpose that the property will be rented or resold to the borrower, solong as all other HAFA program requirements have been met.”
For short sale help Las Vegas homeowners who who qualify, the HAFA program allows a homeowner to sell a home, rent it back for three years and then buy it back at a predetermined price.
If you would like more information on this program and/or to find out if you qualify, please contact us for a confidential consultation.
We are your Foreclosure Solutions in Nevada Agency in Las Vegas NV. Call Us Today at 702-807-5528 or Visit: Las Vegas short sale attorney RE/MAX Las Vegas Ratliff Realty Group.