If your home is in foreclosure and is scheduled to be sold at auction in one week, you’ll need to act fast and be very aware of what you’re doing. Hiring a professional to help you negotiate would be very beneficial. You’ll want to keep accurate records of all paperwork sent or received, and take good notes on all phone calls and meetings with anyone relating to your foreclosure.

You, or an agent negotiating on your behalf, can do one of several things.

For one, you can borrow enough money on a new mortgage to pay off the debts from the old mortgage, including any legal or other fees. Normally, if you have enough equity in your home, bad credit will not prevent you from getting a loan, but do your research thoroughly.

You may also attempt a forbearance, which means in exchange for money or some other action you perform (such as repairs on the home, listing it with a realtor, or something else agreed upon by both parties), the lender will cease any legal action.

In a friendly foreclosure, a third party or the lender purchases the home to clean the title of all lien holders, and then sells it back to the debtor or a predetermined third party.

You may also negotiate to modify your loan temporarily to allow you to get back on track, usually lowering monthly payments, interest rates, or changing other terms until things are back to normal.

Sometimes a lender may be willing to work out a repayment plan with you, in which case the past due debt is figured into a predetermined number of future payments until the amount is paid off. You can expect to pay half of the arrearage (the past due payments) plus all legal and foreclosure fees upfront in this situation.

For more information please visit: http://www.floridalawattorney.com