What steps can you take when foreclosure is in your future?

On Behalf of | Mar 10, 2020 | Blog |

One of the most difficult times for a business is to face foreclosure. If you receive a notice that your account is delinquent, then you may need to take action so that you do not you’re your business. When you deal with foreclosure, there are ways that you can slow down the process. When facing foreclosure, Forbes supplies actions that you may want to take. 

If you face foreclosure and worked with a lender, then you may want to contact said lender as soon as possible to discuss your situation. Foreclosure is an expensive and time-consuming process. Lenders do not want you to have to go through a foreclosure and normally will try to work with you. Lenders may try to offer the following options: 

  • Refinancing 
  • Loan modification 
  • Forbearance 
  • Repayment plan 

Loan modification and repayment plans work with your budget. In a repayment plan, you may alter the payments that you make. When it comes to a loan modification, however, you would look at all the different requirements of your loan. You may adjust the length of time you have to pay off the loan, the interest you pay and other issues that make your monthly payment difficult. 

Short sales are not the same as foreclosures. In a short sale, you agree to sell the building for less than the building is worth. In addition, the bank has control over how much to charge and which offer you accept. Ultimately, this option forces you out of your building, but you do not have to deal with having a foreclosure on your records.