How to Prepare the Fight Against Foreclosure

Generally, the first step to take to avoid a foreclosure is to contact your lender. This might strike fear or feelings of embarrassment in many of you, but you should understand that without making contact and keeping an open line of communication you are effectively kicking yourself out of your own home. Before we place that call though, we must first cover some preliminary details.

How to Prepare

Educate Yourself on Foreclosures: Become educated on foreclosures so that you understand what you are facing. This should bring to light the options that are available and will help alleviate your stress by learning what can and will not happen when you are dealing with a foreclosure. Familiarity with the topic of foreclosure will also help you avoid foreclosure scams and other costly mistakes.
Learn the Timeline: Homeowners facing foreclosure should be aware of the typical foreclosure time line in the state of California. Familiarize yourself with the general timeline showing some major milestones in the foreclosure process along with other important characteristics for foreclosures in California: http://preventingforeclosure.org/help-stop-foreclosure/california-foreclosure-basics/
Learn the Process: Understanding the foreclosure process, including where you stand in the process, will affect the best option to avoid or prevent a foreclosure.
Keep Your Finger on the Pulse: Stay abreast of the market conditions for real estate in your area. Know how severe the rate of foreclosures are in your local area of California since this will affect your options. For example, if there is a flood of foreclosures in your neighborhood, putting your home up for sale, one of the options to avoiding foreclosure, may not be the best idea. An abundance of unsold inventory (homes) would push down the value of homes, increasing the amount of time required to sell.