When an individual or family sits down to consider bankruptcy as an option to stop a financial downward spiral, that individual or family may not be fully aware of how a bankruptcy filing will impact the home foreclosure process. The thought of home foreclosure under any circumstances can be a frightening prospect, but this prospect can often be avoided by filing for bankruptcy. It is important for Florida residents considering bankruptcy to understand the how bankruptcy filings affect home foreclosures.
Not being able to pay a mortgage or make the payments on a second mortgage can lead to fear and anxiety for any homeowner. Florida homeowners may be interested to learn how filing for bankruptcy can help in avoiding home foreclosure altogether. The type of help available and the right options for keeping a home vary according to each family's unique situation.
Many homeowners found themselves on the verge of home foreclosure after the recession hit. Fortunately, the number of potential foreclosures has been reduced in Florida, thanks in part to federal programs aimed at helping struggling homeowners obtain loan modifications. These home loan modification programs were set to expire this year, but they have now been extended to the end of 2016.
The onset of the housing crisis in the United States produced a record number of home foreclosures just years after homeownership numbers hit an all-time high. Florida was hit particularly hard when the housing crisis struck, and many homeowners were faced with home foreclosures and bankruptcy. Despite the bleak outlook over the last few years, home foreclosure numbers are looking better as more people seem to be getting back on stable financial footing.
The thought of going through the home foreclosure process can be stressful and even frightening for some homeowners. It may behoove some Florida homeowners to investigate how filing for bankruptcy may act as a means to stop a home foreclosure action against them. Different types of bankruptcy can impact a pending home foreclosure situation.
One of the main reasons people pursue filing for bankruptcy is to gain control over a financial situation which they have been unable to control on their own. Part of the financial struggle for many individuals involves keeping up with a mortgage payment. It is not unusual for people on the verge of filing bankruptcy to also simultaneously be in the middle of the home foreclosure process. Before a Florida homeowner begins the bankruptcy process, he or she should be aware of how it may affect home foreclosure proceedings, now and in the long-term.
The bankruptcy process can mean having to account for a great deal of financial information. Part of your financial life is your credit card debt. People in Florida should understand that, even if you feel the financial crisis that has led to filing for bankruptcy, this doesn't have a great deal to do with your credit card debt; that debt will be affected by bankruptcy. For those who feel the struggle they face is primarily due to credit card debt, that fact will also play a role in the process.
Bankruptcy can happen to anyone as illustrated by the fact that famed 1970s singer David Cassidy just filed for bankruptcy. The 64-year-old singer filed the bankruptcy paperwork in Florida. It was noted that high credit card debt is part of the reason bankruptcy is being pursued.
The thought of losing your home is likely overwhelming and extremely distressing. Facing foreclosure can lead some people to fall prey to scams or believe inaccurate information. Any kind of misinformation about the home foreclosure process can lead to the possibility of losing your home even when there are other options available. Instead of fearing the process or following bad advice, Florida homeowners need to understand the facts so that they can make the best decisions for their families.
The threat of home foreclosure can be terrifying as you struggle to keep up with payments or look for ways to keep a roof over your family's heads. With the housing crisis and recession, simply selling a home that is unaffordable is not always a feasible plan, as many Florida homes may still not be worth the amount owed on an existing mortgage. One option for avoiding home foreclosure is bankruptcy. However, it is vital to understand which type may work best if the intent is to keep your house.