Many individuals in Ohio and elsewhere might approach the prospect of buying a home with nothing but excitement. However, this decision may also bring about financial responsibilities that could prove troublesome should one fall behind on payments. Facing a foreclosure can be an intimidating process, but it may also take time to complete, and a person might be able to take certain actions to delay or prevent it from occurring.
Losing their home is a chief concern for many Ohio residents who are facing financial turmoil. After all, most families dream of owning their own home, and it is a goal that many work toward for a number of years before making the purchase. Holding onto that property through financial difficulties is important, and many homeowners will go to great lengths to avoid losing their home to foreclosure. Unfortunately, there are a multitude of scams aimed at taking advantage of homeowners who are struggling to keep their home, and it is important to know what to look for when evaluating offers of foreclosure assistance.
There is good news in economic reports that have come out over the past several months. As the Great Recession fades for people in Ohio and elsewhere, the number of foreclosure cases and distressed properties has begun to decline. The evidence of this was apparent in a recent report of such matters in the state.
When Ohio consumers experience financial difficulties, they will likely explore their options to find remedies. While a bankruptcy filing may prevent foreclosure, a homeowner may be unsure of precisely when would be the most appropriate time to file. Should they file for bankruptcy in advance when they realize foreclosure is imminent, or should they wait until they receive advice that foreclosure actions have started?
Adverse financial circumstances -- often caused by employment loss or medical emergencies -- can have severe consequences. Homeowners may even face foreclosure. If an Ohio homeowner is notified of imminent foreclosure, he or she may have questions about the possibility of keeping the home, and what can be done with an auction date looming.
Any homeowner in Ohio will do whatever is possible to maintain ownership of the property. Unfortunately, unforeseen circumstances sometimes jeopardize one's financial stability, and a threat of foreclosure may become a reality. Certain steps can be taken in an effort to prevent foreclosure.
Ohio consumers who are considering their options for eliminating overwhelming debt may be confused with the qualification requirements for each option. These requirements are unavoidable if they choose to file for bankruptcy and the protection it offers. While most people know that consumer debts, such as credit card and medical debt, can be discharged almost immediately through Chapter 7 bankruptcy, they may not be aware that a means test must be completed to determine eligibility for Chapter 7.
Foreclosure is not something that is wished upon any property owner, and Ohio homeowners may not realize that lenders do not usually start such drastic actions for a single late payment. A late payment notice may be sent, and if it remains unpaid, the mortgage holder may try to make contact to arrange negotiations to reach an agreement that may help the homeowner to bring payments current. Only when no solution can be found will foreclosure proceedings be set in motion.
Reverse mortgages were created by Congress in the 1980s to help older homeowners cope with living expenses by drawing income from their home equity. After home values crashed due to the Great Recession, many senior homeowners nationwide, including here in Ohio, faced foreclosure. Although reverse mortgages may be the perfect option for some, consumer advocates warn that this type of loan is a risky choice because it is a complicated product.
If an Ohio home owner's financial situation deteriorates to a level at which mortgage obligations can no longer be met, there are steps that can be taken to remedy the situation. Facing foreclosure is naturally stressful, and all options must be considered. Support is available from different sources, including foreclosure prevention counselors, the mortgage holder, the government and the bankruptcy court.