Chesterbrook, PA Mortgage Foreclosure Defense Lawyer

Owning a home is a major accomplishment, but too many missed mortgage payments might turn your dream into a nightmare. Foreclosure might feel hopeless, but an attorney can help you work to keep your home.

When faced with foreclosure proceedings, you should immediately speak to a lawyer about how to stop the foreclosure. One method is to file for bankruptcy so you can reorganize your finances and work to pay back missed mortgage payments. Filing for bankruptcy may help you buy some time to evaluate your situation, as the court may issue a stay on the foreclosure proceedings. After you and your attorney have filed for bankruptcy, you should focus on staying on a payment schedule so the court will eventually discharge some of your debts.

To schedule a free assessment of your case, call Young, Marr, Mallis & Associates at (215) 701-6519 and speak to our mortgage foreclosure defense lawyers.

What to Do When Faced with Mortgage Foreclosure in Chesterbrook, PA

Missing one mortgage payment might get you in some hot water with your creditor, but missing a payment or even two is not so unusual. Missing a few too many payments might give your creditor grounds to initiate a foreclosure on your home. When this happens, the creditor may reclaim your property, auction it off at a discounted rate, and use the proceeds to recoup their losses. Meanwhile, you might be left with nothing.

If you are multiple months behind on mortgage payments and believe foreclosure is forthcoming, you should speak to an attorney immediately. Our mortgage foreclosure defense lawyers will assess your financial situation (e.g., your assets, debts, income) and figure out the best way to help you keep your home.

One effective legal option is to file for bankruptcy. Although many people associate bankruptcy with things like repossessions and foreclosures, our team can help you file under the right bankruptcy chapter and hopefully avoid foreclosure.

How to Prevent Mortgage Foreclosure in Chesterbrook, PA

Filing for bankruptcy might help you prevent a foreclosure on your home because the foreclosure process usually halts when the homeowner declares bankruptcy. The judge in your bankruptcy case should issue a stay on any foreclosure proceedings, which means the foreclosure cannot move forward. The stay might last several months or until your bankruptcy situation is resolved.

Remember, the foreclosure might be on pause, but it is not eliminated. It will resume when your bankruptcy case is finished. By the end, our goal is to have some debts repaid or discharged so that your creditors forgo foreclosure.

While there are numerous bankruptcy chapters to examine before filing anything, individuals who want to prevent a foreclosure on their home often file under Chapter 13. Under this chapter, homeowners do not have to liquidate their assets to pay their debts. Instead, they and their attorneys come up with long-term payment plans, often lasting for several years, allowing them to reorganize their finances and pay back their debts as best as they can.

While on your payment plan, the goal is to catch up on missed mortgage payments while keeping up with new payments. In the end, you should be caught up on your mortgage, or at least close enough so that your creditors do not foreclose.

Benefits of Filing for Bankruptcy During Mortgage Foreclosure in Chesterbrook, PA

Foreclosure proceedings are not automatic, so initiating the case might buy you some time to step back and evaluate the situation with an attorney. One of the first things to happen is that the court should issue an automatic stay. The stay means the foreclosure process must cease, and creditors must stop contacting to collect payment. For people drowning in debt and facing constant harassment from creditors and bill collectors, this can be a huge relief.

If your house has already been scheduled for sale at a foreclosure auction, the sale must be delayed, usually for several months, under the court-issued stay. In many cases, sales and auctions are pushed back for several months, allowing people in debt to remedy their financial situation to catch up on missed mortgage payments.

One of the biggest benefits of filing for bankruptcy is getting certain debts discharged. In Chapter 13 cases, the judge on your case may issue a court order discharging certain debts, and you will no longer be liable for repayment of those debts. Generally, mortgages are not discharged under Chapter 13, but other unsecured debts might be.

Unpaid debt for credit cards, medical bills, and unsecured loans may be discharged when you file for bankruptcy. With these debts out of the way, you can dedicate more of your income toward your mortgage. Ultimately, you should be in a better position to keep up with monthly mortgage payments and avoid foreclosure.

What to Do After Filing for Bankruptcy to Avoid Mortgage Foreclosure in Chesterbrook, PA

After you file for bankruptcy, our team can help you prepare your case for court and potential pushback from creditors. If you file under Chapter 13, our preparations should include devising a feasible payment plan. Your payment plan should be designed to help you repay your debts in a certain period of time, usually a few years.

You should be prepared to go through several drafts of potential payment plans before landing on one that works. The court and creditors must approve of the plan, and we should have several possible plans in our arsenal, just in case.

Once your payment plan is approved, you must adhere to the plan and keep up with mortgage payments while making up for missed payments. We can also work on discharging unsecured debts so that you do not end up back in debt. If you stay current on payments, we can work with the courts and your creditors to avoid foreclosure on your home.

Contact Our Chesterbrook, PA Mortgage Foreclosure Defense Lawyers for Assistance

Call Young, Marr, Mallis & Associates at (215) 701-6519 and speak to our mortgage foreclosure defense attorneys to schedule a free evaluation of your case and finances.