Ask The Money Coach

Posts Tagged ‘Foreclosure’

As more homes go into foreclosure, you might be considering investing in a foreclosed property to generate some extra income.

Foreclosed homes can be moneymakers in strong rental markets or if you’re able to sell a deeply discounted property for a higher price in the future.

Regardless of whether you’re considering a foreclosure for investment purposes or as potential property in which you might live, you still need to make some informed decisions about any building you buy.

Continue reading “Buying a Home in Foreclosure? Here Are 6 Tips” »

Related Questions:

• pictures symptoms alcohol inurl:/register intext:upcoming intext:published intext:submit intext:tag cloud -inurl: php
• 6 Guidelines for buying a house
• who will give a loan to buy a forclosed home to me with no credit score
• what you need to know about buying a foreclosed home 2011
• pricing mistakes when selling a home
• negotiating to buy foreclosed property
• how much flex on a foreclosed house
• how can you buy a foreclosed home
• buying a house for your child foreclosure
• buying a home while in foreclosure
• buying a foreclosure asking for closing costs for repairs
• buying a foreclosure 2011

Actor Burt Reynolds could lose his Florida waterfront mansion to foreclosure. According to a lawsuit filed in Martin County, Florida, Merrill Lynch Credit Corporation, Reynolds has not made a mortgage payment since August 2010 and owes the bank nearly $1.2 million.

Read: How Will Strategic Default Impact Your Credit Score

The actor of over 90 films and 300 television episodes. Burt Reynolds is well known for movies such as  Smokey and the Bandit, Deliverance, and The Longest Yard.

The 75-year-old star originally put the 12,538-square foot estate on the market in 2005 for $15 million.  It was most recently listed at $8.9 million.

Related Questions:

• actor burt renolds
• burt renolds actor
• florida money coach

When you have taken the step to file for bankruptcy and are struggling to make ends meet, you may have wondered if your home will soon go into foreclosure. If you’re filing for bankruptcy, it’s likely that you’ve been struggling with finances for several months – even years – and may already have come close to losing your home. The good news is, you can actually end up saving your home from foreclosure when you file Chapter 13 bankruptcy.

Filing for Chapter 13 bankruptcy is basically a “debt reorganization” bankruptcy. It’s designed to help you reorganize your debts and repay your debt over a realistic timeframe. Chapter 13 bankruptcy does not require you to liquidate your assets, including your home, like Chapter 7 bankruptcy which is a liquidation bankruptcy. You will get to keep your home and will need to work hard to stick with the repayment plan for the next three to five years. After you have completed your repayment plan, you will have a “fresh start” and can even consider refinancing at this time.

Automatic Stay When Filing for Bankruptcy

In most cases, the bankruptcy court will grant you an automatic stay as soon as your Chapter 13 bankruptcy petition is filed. This temporarily stops your home from going into foreclosure, regardless of whether the foreclosure proceedings have already begun. This process gives you some room to work out a realistic repayment plan for your debts listed on your Chapter 13 filing.

An Automatic Stay does the following: halts foreclosure: stops any type of repossession of vehicles or assets; prevents creditors from contacting you about outstanding debts; and also stops any lawsuits or wage garnishments. Talking to a bankruptcy lawyer about your Chapter 13 filing and the automatic stay benefits can help you see how your home will be saved from foreclosure.

Keeping Your Home When Filing for Bankruptcy

During the bankruptcy filing process, it is critical that you continue to make all of your mortgage payments on time. Missing even one or a few payments may mean that your automatic stay is lifted and the mortgage company will be able to come after you. You need to continue making your mortgage payments on time!  Once the bankruptcy has been filed and you start making payments on the three to five-year repayment plan. You can then consider making a few extra payments on your mortgage to catch up, or even refinance your mortgage to get a lower interest rate and save on your monthly payment.

Related Questions:

• can a chapter 13 bankruptcy stop s foreclosure if it already filed
• extra payments on mortgage for catch up irs
• file chapter 13 to save home 2011
• how save home
• how to save your home when filing bankruptcy
• losing your home how does it work if you already filed chap 13 bankruptcy
• ways to save home from foreclosure
• ways to save home from foreclosure irs
• what to expect when you filing bankruptcy to save your house

If you’re facing foreclosure, you may be wondering how this will affect your credit score. Missing payments on your mortgage and other bills may have already dropped your credit score by several points, and when you reach foreclosure status, you will notice a significant drop in your credit rating. If you’ve been struggling financially for a while, the foreclosure could have an even more significant impact on your credit standing now, and in the future.

Effects of a Foreclosure on Your Credit Report

Your FICO score is the most commonly-used credit score by most lenders, and credit bureaus have shared how many points you lose when you’re dealing with a delinquent mortgage. Here are the average ranges of points you lose when you’re in foreclosure:

• 40 to 110 points when payments are 30 days late
• 70 to 135 points when payments are 90 days late
• 85 to 160 points when you’re dealing with a foreclosure, short sale or deed-in-lieu

Even if you had been making your mortgage payments on time for several months and years before dealing with financial distress, the banks will report missed payments to the credit bureaus right away.

For many people facing foreclosure, the mortgage isn’t the only bill that’s late. If you are also late on your car payments, have been skipping student loan payments or are late on credit card payments, your credit score will drop within a very short period of time.

Sadly, the combination of a foreclosure and defaulting on other loans often leads borrowers down the road of bankruptcy. Declaring bankruptcy will do extensive damage to your credit rating and, like a foreclosure, will also stay on your credit report for several years.

Erasing a Foreclosure from Your Credit Report

A foreclosure will drop off your credit report automatically within seven to ten years, depending on the state you live in. When you reach the seven-year mark, make sure you get in touch with the credit bureaus to make sure that they are still not reporting the foreclosure. You may need to send them a written notice in order to have the foreclosure removed after it has expired. It’s also important to contact your original lender to have them remove the record from your credit report. Lenders are not always willing to go out of their way to do this, so a written notice and persistence may be needed to clean up your credit report.

If you do decide to apply for a loan when you have a foreclosure on your credit report, the lender may be willing to offer you loan but at a higher-than-average interest rate. In most cases, you will find it difficult to get another mortgage at an attractive interest rate, because of your credit history.

Related Questions:

• how does foreclosure affect your credit
• how does a foreclosure affect your credit
• foreclosure credit damage
• how does foreclosure affect credit
• how does foreclosure affect your credit score
• foreclosure credit impact 2011
• how will foreclosure affect my credit
• foreclosure effect on credit score 2011
• how will a foreclosure affect my credit
• how will a foreclosure affect my credit score
• does a foreclosure hurt your credit
• does foreclosure affect credit