A lot of mi past clients had approached me and asked me, what happens when I miss a mortgage Payment? Well, if you miss a payment may not affect you that much but it could be the initiation of a Foreclosure.

But what is a Foreclosure?   Foreclosure is the legal meaning that your lender can or will use to repossess or take over your house. If this happens, you will have to move out of your house. In addition, if your property is worth less than the total amount you owe, you could be pursued by the bank and/or the U.S. Department of Housing and Urban Development (HUD) for a deficiency judgment. If that happens, you not only lose your home, but there also would be an additional debt that you would owe to your lender or to HUD.

What can I do?

           Here are a few tips to prevent or avoid foreclosure

-DO NOT IGNORE THE LETTERS FROM YOUR LENDER. If you are having trouble making your mortgage payments, do yourself a favor call or write to your lender and explain the situation.

- Do not leave your house, your lender may help you qualify for assistance, but you must remain living at your home.

- You can contact a HUD-approved housing counseling agency. Call 1-800-569-4287 or TDD 1-800-877-8339 for the housing counseling agency nearest you. These government agencies such as the housing counseling agency, may also offer credit counseling and their services are free of charge.

- If you utilized your Veterans Administration (VA) guaranteed loan program, you can call the VA office nearest you.

What are my options?

A Mortgage Modification. You may be able to refinance the debt and/or extend the term of your mortgage loan.

Special Forbearance. Your lender may be able to arrange a repayment plan which would be based upon your financial situation and may even provide for a temporary reduction or suspension of your payments.

Partial Claim. Your lender may be able to work with you to obtain an interest- free loan from HUD to bring your mortgage current. You may qualify if: 1) your loan is at least 4 months delinquent, and no more than 12 months delinquent; 2) your mortgage is not in foreclosure; and 3) you are able to begin making full mortgage payments. When your lender files a Partial Claim, the U.S. Department of Housing and Urban Development will pay your lender the amount necessary to bring your mortgage current

Pre-foreclosure sale. This will allow you to sell your property and pay off your mortgage loan to avoid foreclosure and damage to your credit rating

Deed-in-lieu of foreclosure. As a last resort, you may be able to voluntarily "give back" your property to the lender.

Most important, if you feel that you are falling behind on your mortgage obligation, contact your lender and asked them for options. Your home is your primary asset, and you most take care of them.


Edgar J Hernandez Branch Manager-PRMI RGV| NMLS# 226169

3401 Old Highway 77 | Brownsville | Texas | 78520

O: 956-616-4926| Fax 1.800.519.7915| ehernandez@primeres.com |

www.rgvhomemortgage.com | www.PRMIUSA.COM