Navigating Mortgage Troubles: Tips to Avoid Foreclosure and Protect Your Home Equity

Even though you might hear some talk about foreclosures going up a bit lately, experts say we're not heading for a crisis like the big one in 2008. Actually, the numbers are still much lower than what we'd expect in a regular year for the housing market. According to a report from BlackKnight, the chance of a bunch of foreclosures happening soon is pretty low. That's because the number of people having trouble paying their mortgage is much lower than usual. But, there are still some folks who might be worried about losing their homes. Life can throw unexpected curveballs, right? For those in a tough spot, there are options to avoid foreclosure. Here are a few things you can look into, as explained in an article from Bankrate: Forbearance Programs: If your loan is from Fannie Mae or Freddie Mac, you might qualify for this program. Loan Modification: Your lender might be willing to change the terms of your loan to make your monthly payments easier. Repayment Plan: Your lender could set up a plan to delay payments or make them more manageable. And here's another thing to think about: Do you have enough equity in your home to sell it and save your investment? You might be able to use the money you've built up in your home over the years to sell it and pay off your mortgage. If your home's value has gone up since you bought it and you've been making regular payments, you could have some extra money to work with. Freddie Mac explains: "If you have enough equity, you can use the money from selling your home to pay off what you owe on your mortgage, including any missed payments or other debts tied to your home." To figure out how much equity you have, talk to a local real estate agent. They can give you an idea of what your home might sell for based on similar homes in your area. It could be a way to avoid foreclosure. Haven Real Estate Groupwww.homesforsalemhk.com   

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Using Equity to Upgrade Your Lifestyle

If you've owned your house for a couple of years or more, there's something cool you should know about – it's called home equity In this blog post, you’ll learn: -What home equity is and how is calculated-How your equity grows over time-Explore practical ways to put your home equity to work-Watch: VA Loans series: Everything you need to know 📆🎁 Exclusive Goal Planner: Ready to harness the power of your goals? Subscribers receive our exclusive goal planner, a game-changing resource.To guide you, let's start by setting the stage. Picture this: you, armed with your goal planner, navigating the real estate landscape with confidence and purpose. Subscribe for free here 📌Don’t forget to subscribe here to get our exclusive Home Buyers Guide: Home Sellers Guide, Military Families Home Buying Guide, and Introduction to Investing in Real Estate 📌Join our newsletter and don’t miss any updates! Don't worry if that term sounds new; Freddie Mac explains it like this: "Home equity is the difference between how much your home is worth and how much you owe on your mortgage." So, as you pay down your home loan and home values go up, your equity grows. Even though home prices had a little dip last year, they've bounced back and are climbing in many areas. Here's why that's good news for you. In the latest Equity Insights Report, Selma Hepp, the Chief Economist at CoreLogic, breaks it down in simple terms: "With price gains helping homeowners build wealth, equity has reached a new high, recovering from the losses of last year. The average U.S. homeowner gained over $20,000 more in equity compared to the third quarter of 2022. Some markets are seeing even bigger increases as prices catch up." And that's just in the last year. To help you really get what that means over time, the report says the average homeowner with a mortgage has more than $300,000 in equity. That's a pretty big deal. Here are some cool things you can do with your home equity Upgrade Your Home If your current space doesn't fit your needs anymore, it might be time for a bigger or smaller home. You can use your equity for a down payment on something that suits your changing lifestyle. Spruce Up Your Place If moving isn't on your radar yet, use your equity to improve your current home. Think about upgrades that will boost your home's value in the long run. A real estate agent can guide you on which projects give you the best return when you decide to sell. Chase Your Dreams Home equity can help you make your lifelong dreams come true. Whether it's starting a business, planning for retirement, or funding education, using your equity responsibly for something meaningful can make a real difference. Stay In Your Home If financial times are tough and you're worried about foreclosure, having equity can be a lifesaver. It can act as a cushion if you're struggling to make your mortgage payments on time. In a nutshell, if you're curious about how much equity you've got, talk to a local real estate agent. They can do a pro equity assessment and guide you on how to use it to reach your goals in a friendly and easy way. Haven Real Estate Groupwww.homesforsalemhk.com 

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