The Best Tips for Financially Distressed Homeowners

Due to the ever increasing cost of living, job losses and interest rates, the amount of homeowners finding themselves in financial distress just keeps on rising by the year. This in turn is causing so many property owners having to face much unwanted financial distress. In all honesty, the best thing you can do for your situation is to take action, as it can’t be surprising to hear that staying in a financially distressed situation is just a disastrous choice to make. So today, here at JAM properties, we will be discussing the best tips if you find yourself in such an undesirable position.

#1 Assessing and Communicating

The first thing you should do is to assess exactly where you are financially and whether or not you are in the position to be able to continue making your monthly mortgage payments. If you aren’t, the next step for you to take is to contact your bank ASAP and communicate with them, letting them now what is going on. The reason for this is that if you default on one or more payments, it could lead to some dire consequences, such as a tarnished credit record or having to completely forfeit your property. However, if you do take the time to inform your bank of your current financial position, these undesirable consequences may be prevented.  It is in the bank’s best interest for you to keep living in your property and paying the mortgage. Hence, the likelihood of you being able to reschedule your payments or being offered some helpful financial advice would increase.  The bank typically will offer either a repayment plan or a loan modification.

#2 Utilizing the Pros

In certain scenarios, your financial situation may have reached a point where it is totally and utterly out of your control. During these times, it is a good idea to consult the professionals. An example of why this is a good idea could include a financially distressed homeowner using a debt counselor. A debt counselor will be able to help you to assess your current financial position and give you some professional advice on what you should be doing in order to keep moving forward and come up with a repayment plan. Consulting an attorney to discuss the possibility of filing bankruptcy is another way of keeping your home.  He or she will be able to help you to apply to the court and get a repayment plan approved, so that your property won’t get repossessed.

#3 Selling Your Property

If the two tips above can’t help you to make sure your home isn’t going to get repossessed, putting your distressed property onto the market ASAP is probably the best option. There are three ways to sell your property.  The first and probably most common is to list it with a local real estate agent.  It’s a good idea to contact three and interview all of them.  Competent agents will bring you an analysis of comparable homes in your market, so that you will be able to agree on a listing price that will help to make you the most money, while selling your home quickly.  A second option is to sell the home yourself.  Some homeowners do this to save money on the commissions that real estate agents earn when they sell the home for you.  There are organizations that will assist you with the contracts and information that you need, but typically unless you have some real estate knowledge, this isn’t a great choice when you need to sell quickly.  Without an agent, you will not be able to market your property to as many buyers, which may delay the process.  Your last option is to contact a residential redeveloping company like JAM Properties, LLC.  We have many creative ways to help homeowners in this situation.  We can help to temporarily stop a foreclosure, so that we can work out the details of buying your home.  There are no commissions and no need for repairs, and we can work on your timeline.  If you’re a financially distressed homeowner, you may want to assess all options, so that you can choose the best one for you.