Foreclosure is a process where the mortgage holder sues the property owner for the right to sell the property to recover the balance of the unpaid mortgage, usually because the homeowner has defaulted on the loan. However, there are some instances where a foreclosure occurs because the property owner decides that the property has lost so much value that the balance of the mortgage is no longer worth paying. Even though the property owner could afford to make the monthly payments, he or she decides not to. If you find yourself considering this option, contact a foreclosure lawyer in Oldsmar at Westchase Law to set up a consultation to discuss other potential options and the consequences of voluntarily entering into a foreclosure.
An experienced foreclosure lawyer in Oldsmar will advise you of how walking away from a mortgage will impact your future. A foreclosure negatively impacts your credit and remains on your credit report for up to 7 years. This can make it difficult to obtain needed credit in the future. You might also be responsible for any deficiency between the unpaid mortgage balance and the amount the property sells for at the foreclosure sale. In a market that has deteriorated, this amount can become quite large. The mortgage holder can obtain a judgment against you which will also impact your credit score. The pros and cons of walking away from a mortgage should be carefully considered and discussed with a foreclosure lawyer in Oldsmar so that an informed decision can be made.
Should you decide that entering into foreclosure is your best option, an attorney should represent you throughout the process. If you decide that the foreclosure is not the best option, your attorney could negotiate with the mortgage holder for a modification of the mortgage or surrendering the property through a deed in lieu of foreclosure. A skilled foreclosure lawyer in Oldsmar can negotiate with your lender to obtain the best outcome for you.
Contact Westchase Law to discuss your options if you think your property is no longer a good investment.