Lance Falow of The Heathcote Group lends tips on avoiding foreclosure

There are now 3.5 million mortgages at least 90 days delinquent. In addition, 2 million mortgages are at least 180 days delinquent- in Las Vegas the 90-day delinquency rate is 21.7%; in Miami it's 28.8%.

The best way to avoid foreclosure is to prevent the filing of a Notice of Default. If there is a problem making mortgage payments, call or write to the lender's Loss Mitigation Department without delay and explain the situation. Be prepared to provide financial information, such as monthly income and expenses. The lender may be able to work with the situation and the homeowner may not qualify for assistance if they abandon the property.

If missed payments can't be made up and the lender will not work with the situation, here are a few other options to stop foreclosure:
#Mortgage Modification- Homeowners may be able to refinance the debt and/or extend the term of the mortgage loan.
#Partial Claim: Your lender may be able to work with the homeowner to obtain an interest- free loan from HUD to bring the mortgage current.
#Sell Your Home: Interview real estate agents to get an opinion of market value and average DOM to sell the home.
#Consider a Short Sale: If a home is worth less than the amount owed, it might be a candidate for a short sale. A short sale affects credit but it's not as bad as a foreclosure.
#Sign a Deed-in-Lieu of Foreclosure: The homeowner gives the lender a properly prepared and notarized deed, and the lender forgives the mortgage, effectively canceling the foreclosure action.

"Mistakenly, many homeowners facing foreclosure wait until the 11th hour to try and do something about it in order to avoid the after effects of home foreclosure. Once in default, the homeowner faces the real possibility of losing his or her home," says Lance Falow, Partner at The Heathcote Group.

Act now. If homeowners do nothing, they will lose their homes and their good credit rating.

The Heathcote Group
The Heathcote Group is a real estate investment firm with a concentration in conveyancing, foreclosure and title issues.The Heathcote Group lends money on commercial property and non-owner occupied residential property and also buys defaulted mortgages and distressed property, both in New York and Florida.