When You Cant Pay Your Mortgage

Posted on Apr 30, 2014 in Blog

A lot of families are going through a hard time right now given the economy. In case you are not familiar, here are different options that are available through various different organizations.

  • Contact your lender: They may be able to make adjustments to your payments. Contact them as soon as possible, whether you are caught up or behind on your payments.
  • Forbearance: Your payments can be reduced, or even sometimes suspended. This is an agreement between you and your lender. You typically would still need to bring the load current after the period of which your payments are reduced/suspended. This is a good option for someone that may be only temporarily out of work but expects to be able to pay the money back. Keep in mind this option will affect your credit.
  • Partial Claim: Promissory note to U.S. Department of Housing and Urban Development with a lien on your property in which is due (interest-free) when you pay off the first mortgage or when you sell the property. This may be a good option for some, but may not be the best option for others that want get out from underneath debt and have a fresh beginning.
  • Short Sale: An agreement with the bank that allows you to sell the home for less than what is owed to the lender. The bank may look at this as an option because foreclosure is costly and time intensive for them as well. If your bank reports the short sale to monitoring agencies, your credit typically will be damaged. Chances are you will not able to buy another home for 2 years.
  • Rent property: You may be able to rent the property temporarily to get back on your feet. However, make sure to consider everything that goes into renting your property, as well as the risks.
  • Pre-Foreclosure Sale: Allows you to sell your home for less than its worth and use that money to satisfy the loan even though its less than what is owed. Keep in mind there will be fees, and this can also negatively impact your credit.
  • Deed in Lieu of Foreclosure: Basically giving ownership back the property to the lender. This will still effect your credit and allows the bank to take possession of your property sooner than foreclosure.
  • Sell your home fast, for cash! As real estate investors, Mile High Residential Solutions is able to purchase your home before foreclosure and before you credit is damaged. You will not have to pay any fee’s. Selling your home to an investor can be the easiest and quickest of all the options. Please contact us if you are interested in this option.


You probably want to avoid Foreclosure or Bankruptcy since its incredibly damaging to your credit. Please make sure you are informed of your options, and the stipulations of each. There are costs and fees that you will incur with Foreclosure, not to mention the inability to buy a home for 5-7 years. Bankruptcy can delay the foreclosure process, but is not always a solution.


Please contact us if you are interested in getting out from underneath your debt. When we buy your home for cash, you avoid damaging your credit!
If you receive a foreclosure notice, contact your lender immediately to review your options. You can contact U.S. Department of Housing and Urban Development www.hud.gov/for more information. Please contact us if you are interested in selling your home fast, for cash!
For your own protection, make sure to always take notes and make records of everyone that you speak with. Also, make sure to avoid scams. Do not sign over the deed to your house through lease/buy back or bait-and-switch schemes.