Foreclosure Resolution Options

• Sale.  A lender will typically agree to a specific amount of time for the borrower to find a purchaser and to a complete payoff for the loan.  Of course, the borrower will be required to obtain the services of a real estate practitioner to market the property aggressively.  Ask Smart Solutions for real estate sales assistance or ask a Leander Realty Realtor® for real estate assistance.  Leander Realty may be able to sell your home and save your credit from further damage.  THIS IS A HIGHLY RECOMMENDED COURSE OF ACTION.  ALSO RECOMMEND CREDIT REPAIR SERVICE.  Call for additional information on getting a Realtor® to assist you.

·          Pre-Foreclosure Sale or Short Payoff.  Unfortunately, in some circumstances, the property’s value may not be high enough to pay off the loan in full, the lender may accept less than the full amount owed to cut its losses.  This option can also include a period of time to allow the borrower’s Realtor® to find a qualified buyer.  A pre-foreclosure sale could provide the additional funds to pay off other lien holders and a few moving costs.  Sometimes, an investor can be located to purchase the house.  Call Smart Solutions for assistance with this method and help locate a buyer for you in your community.  THIS IS A HIGHLY RECOMMENDED COURSE OF ACTION.  ALSO RECOMMEND CREDIT REPAIR SERVICE.  Call Smart Solutions for assistance.

·          Assumption.  The lender may agree to permit a qualified buyer to assume mortgage payments, even if the original loan documentation states that such a loan is not assumable.  Smart Solutions may be able to help locate an investor or buyer willing to assume the existing loan and (in order to conserve equity) Smart Solutions may also be able to help a buyer conserve the equity in the property as well.  Ask for details on how this can be done.  THIS IS A HIGHLY RECOMMENDED COURSE OF ACTION.  ALSO RECOMMEND CREDIT REPAIR SERVICE.

·          Lease Purchase.  A seller may also attempt to lease the property to a qualified buyer-tenant.  If a buyer-tenant can qualify on payments but cannot qualify because of credit concerns, the owner should make certain that the buyer is enrolled in the Smart Solutions Financial Services, LLC credit repair/restoration program as offered through the Smart Financial Program.  This is the most comprehensive credit repair program in the United States and details can be found on the company’s website: www.SmartSolutionsFS.com.  Also, Smart Solutions has hundreds of tenants calling in each month seeking a rent to own home.  This option may work well for both parties.  Ask Smart Solutions for details on how this method may be best employed to “save” the property from foreclosure.  If you are far behind in your payments, then the buyer may need to come up with a large down payment to bring your account current.  THIS OPTION IS CERTAINLY VIABLE FOR AN OWNER SO LONG AS A LEASEWORTHY TENANT CAN BE FOUND IN TIME.  

·          Buying A Home, Selling A Home, & Making Double Mortgage Payments.  Many times, real estate agents tell homeowners, “Go ahead and buy another house.  I’m sure I’ll be able to sell the house you own in a very short time.”  Many times, the agent DOES NOT come through on the promise (and being greedy) thinks ONLY of making TWO commissions and has no concern whatsoever for the homeowner.  Any homeowner who falls for this scheme usually ends up regretting their decision as well as making the payment for an extended amount of time than previously estimated.  A reputable Realtor® will never suggest that a homeowner make double payments on two houses unless the homeowner is certain that making such double payments will not be a problem beyond any doubt or for any length of time in the future.  The homeowner will need to keep making payments until the home is sold, rented, or worse, foreclosed.  If you are in need of relocating to another home (especially in another State) please call Smart Solutions for more advice on how to proceed and how to make the transition EASIER.  THIS IS A VERY EXPENSIVE OPTION.  SMART SOLUTIONS RECOMMENDS AVOIDING THIS SCENARIO IF AT ALL POSSIBLE.  BUT DOES RECOMMEND CREDIT REPAIR SERVICE.   Call Toll-Free: (888) 605-5181.

·          Sale-Leaseback.  A homeowner may be able to structure a sale to a real estate investor and lease the property back from the investor for a specified period of time.  The homeowner will need to meet affordability requirements.  Also, the investor who purchases the property will need to have an interest in engaging in property management.  Also, real estate investors are in the business of making a profit.  Depending on the real estate investor, profit potential may need to be high enough to cover profit expectations and risks from a few thousands of dollars up to a few tens of thousands of dollars.  Smart Solutions may have an interest in this arrangement assuming certain requirements are met – ESPECIALLY WITH REGARD TO AFFORDABILITY.  THIS OPTION WILL NOT WORK IF PAYMENTS ARE STILL BEYOND THE AFFORDABILITY LIMITS OF A HOMEOWNER.  IF A (PROPERTY MANAGEMENT) INVESTOR CANNOT BE LOCATED, THE HOUSE COULD FALL INTO FORECLOSURE AND BE SOLD AT AUCTION.  ALSO, IF AN INVESTOR DOES RENT TO THE HOMEOWNER, AND THE HOMEOWNER STILL CANNOT AFFORD THE PAYMENTS, EVICTION MAY ENSUE.  SMART SOLUTIONS DOES NOT RECOMMEND THIS COURSE OF ACTION MOST OF THE TIME.  BUT DOES RECOMMEND CREDIT REPAIR SERVICE.   Call Toll-Free for advice: (888) 605-5181.

·          Lease Option/Lease Purchase For The Seller.  Smart Solutions Financial Services, LLC can help a homeowner find more affordable housing through the Smart Solutions Rent To Own Homes Program.  Finding a more affordable house does not necessarily mean finding a “smaller” or “less desirable” home.  In some cases, this move may prove to be an “upgrade” for the homeowner (soon-to-be buyer).  The homeowner can move into a nice house (especially a home that has undergone rehabilitation that – on the inside – looks like a BRAND NEW HOME).  CONCURRENTLY, while living in the home, Smart Solutions will be providing credit repair services and advice in the meantime to the former homeowner.  After credit repair, the homeowner can purchase the rent to own home with an improved credit standing.  THIS IS A HIGHLY RECOMMENDED COURSE OF ACTION.  Call Toll-Free for more info: (888) 605-5181.

Mortgage Modification.  If the borrower can make at least a partial payment on the loan but doesn’t have the money to bring the account current, the lender may be willing to permanently change one or more terms of the original loan to make the payments more affordable.  If you have an FHA Loan – ask about FHA Secure)!  These changes include:

·   Adding Missed Payments To Existing Loan Balance. 

·   Changing The Interest Rate  - Including Converting An Adjustable Rate Loan Into A Fixed Or Interest Only Loan

·   Extending The Number Of Years To Repay The Loan

·   Claim Advance.  If your mortgage is insured - FHA loans are - the borrower may qualify for an interest-free loan from the mortgage guarantor to bring the account current.  The repayment of the loan may not start for several months or even years.  THIS OPTION IS HIGHLY RECOMMENDED.  Call Smart Solutions Toll-Free: (888) 605-5181.

·   Use your current assets to save your house – 401(k), IRA, jewelry, cars, boats, electronics, life insurance proceeds, etc. 

ALSO RECOMMEND CREDIT REPAIR SERVICE.

·   REFINANCE USING CREDIT REPAIR:  Many homeowners have been placed into loan products (particularly Adjustable Rate Mortgages) that are specifically designed for borrowers who have substandard credit and which are – unfortunately – adjusting upward.  Smart Solutions specifically recommends using CREDIT REPAIR and general financial counseling as powerful tools in order to help homeowners REFINANCE TO A LOWER RATE AND PAYMENTS so long as conditional time requirements are met.  Smart Solutions will also place the homeowner with a REPUTABLE lender who will place the homeowner in a FIXED  RATE  HOME  LOAN.  THIS OPTION IS HIGHLY RECOMMENDED IN ALL CASES – BETTER CREDIT CAN PROVIDE THE KEYS TO BETTER LIVING AS WELL AS CREATE & MAX WEALTH.  THIS PROGRAM IS A HIGHLY RECOMMENDED COURSE OF ACTION.  HOWEVER, CREDIT REPAIR TAKES 60-90 DAYS AT MINIMUM.  Call for loan application: (888) 605-5181.

·   Repayment.  A borrower could possibly arrange a repayment with the lender to resume making monthly payments, in addition to a portion of the past due payments each month until the loan is brought current.  If you need assistance and resolution, please call a Smart Solutions counselor who is a trained real estate professional in consultation and negotiation.   THIS IS A VERY HIGHLY RECOMMENDED COURSE OF ACTION.  ALSO RECOMMEND CREDIT REPAIR SERVICE. 

·   Reinstatement.  A lender may be willing to discuss accepting the total amount owed in one lump sum by a specific future date.  Of course, most of the time, homeowners simply do not have the savings to make this option truly viable but funds at a future date may be available to make this option work.  Sometimes, a solution may be available that could have been overlooked.  Call your lender for additional guidance.  THIS IS A HIGHLY RECOMMENDED COURSE OF ACTION.  ALSO RECOMMEND CREDIT REPAIR SERVICE.

·   Forbearance.   Lenders may allow a borrower to reduce payments (maybe to an interest only level) or even suspend payments for a short period of time after which another option must be exercised to bring the loan current within a specified period of time (along with a reinstatement – especially if the owners know they will have enough money to bring the home loan current) such as: sale, hiring bonus, investment, insurance settlement, tax refund, fundraiser or church donation.  If you need assistance with negotiating and restoring your home loan (AND CREDIT).  Call Smart Solutions and get details on the credit repair program and call you lender for additional information on this option.  THIS IS A HIGHLY RECOMMENDED COURSE OF ACTION.  ALSO RECOMMEND CREDIT REPAIR SERVICE.   Call Toll-Free: (888) 605-5181.

Again, getting a mortgage review, advice AND ACTING IN TIME is essential.  Call Smart Solutions for assistance – In Saint Louis – 636-533-4070 or Toll-Free at: 888-605-5181.

·   Deficiency After Foreclosure.  Please understand, that in foreclosure, any house that does not sell for the balance owed on the house leaves a short fall (also called a deficiency) balance.  Any balance that remains unpaid will be the financial responsibility of the previous owner(s) and will be considered a collection matter.  It is possible, from time-to-time, that the collection, if not paid or settled, does have the potential to become a judgment (as ruled by a judge).  It is very possible that any deficiency (which is usually treated as a collection) that results from a foreclosure may result in a deficiency judgment.  Smart Solutions highly recommends taking action to avoid this IF AT ALL POSSIBLE as this will further damage the homeowner’s credit by the major credit bureaus reporting the judgment under the “public records section” of your credit reports.  Call Smart Solutions to get advice and help determine what can be done to avoid such an event.

·   Adjustable Rate Mortgages.  Many times, homeowners have been placed into loans that adjust from time-to-time.  Some unscrupulous lenders will place a borrower in an adjustable rate mortgage and only disclose the payment amount.  Unfortunately, for many people, the rates have skyrocketed to the point that payments are no longer affordable.  If your payments have increased to the point where refinancing to a fixed rate is not even an option, the best option may be call Smart Solutions for advice and determine what options remain.

Getting Started – Step-By-Step Instructions

(3)      If you are seeking to refinance (and keep) your house, complete and remit the enclosed 1003 Residential Loan Application.

(4)      If you are seeking to do a lease purchase or a purchase-lease back, please complete the enclosed Rent To Own Homes Enrollment Form and remit this with your $350 Housing Assistance Fee.  Smart Solutions will REQUIRE VERIFIABLE INCOME to qualify for a lease purchase:

(5)      If you are seeking to part yourself with your house, please complete the Seller’s Property Disclosure Form, Formal Notification To Lender (& if wanting to deed your home to Smart Solutions, please complete the Quit Claim Deed as well) - if you are planning to either SELL or Walk Away –from your home.  Also, please complete the Financial Information Page as well.  This will ONLY be seen by Smart Solutions FS, LLC staff.