Foreclosure Alternatives

Take the First Step to Regain Control of Your Financial Future

Many borrowers face a difficult decision. They have fallen behind on their mortgage payments, owe more on their homes than their homes are worth, and may not qualify for a loan modification. Foreclosure can be scary and stressful, and it can harm your credit for years to come. Fortunately, it doesn’t have to be your only option.

Intercap Lending specializes in helping our customers avoid foreclosure. Our mission is to help homeowners find the best solution given their current financial situation. Sometimes that includes staying in their home, and other times it means considering whether to start fresh in a more affordable home.

If you can’t afford reasonable mortgage payments, two alternatives are a Short Sale and a Deed-in-Lieu of Foreclosure. These options can offer you a fresh start and may allow you to reestablish your credit sooner than if your property were to go through foreclosure. Here’s how they work:

Short Sale

The owner or insurer of your mortgage allows you to sell your property for fair market value that’s less than the total amount you owe on the mortgage. Any remaining balance, including late fees, legal charges and past-due interest, won’t have to be repaid, which gives you a fresh start. The benefits of a short sale are:

• You can sell your home at market value.
• You can walk away from any remaining mortgage debt. Consult with your tax professional to see how this may impact you.
• You may receive cash to assist you with expenses in relocating.
• You avoid having a foreclosure on your credit report.
• You avoid the costs and stress of public foreclosure.
• You can work out a convenient move-out date.

The owner or insurer of your mortgage loan may require you to be reviewed for an option that will allow you to remain in your home (e.g., loan modification) prior to being reviewed for a short sale. One of our representatives can assist you with options that are available for your specific circumstance.

Deed in Lieu of Foreclosure: 

You agree with your lender to transfer title to the property to the lender in exchange for forgiveness of your mortgage debt and all associated costs, such as late fees, legal charges, and past-due interest. The benefits of a deed in lieu are:

• You can walk away from your mortgage debt. Consult with your tax professional to see how this may impact you.
• You may receive cash to assist you with expenses in relocating.
• You avoid having a foreclosure on your credit report.
• You avoid the costs and stress of public foreclosure.
• You can work out a convenient move-out date.

The owner or insurer of your mortgage loan may require you to be reviewed for an option that will allow you to remain in your home (e.g. loan modification), as well as a short sale of your property, prior to being reviewed for a deed in lieu. One of our representatives can assist you with options that are available for your specific circumstance.

If you are a Intercap Lending customer and are interested in these programs, please call us at (800) 658-9371 today. Our Resolution Specialists can review each option in detail with you to see which best fits your financial situation.

Counseling

The U.S. Department of Housing and Urban Development (HUD) funds housing counseling agencies throughout the country. These organizations can give you advice on renting, defaults, foreclosures, credit issues and more. To contact the agency nearest you, call (800) 569-4287 or visit www.hud.gov.