The best tips for financially distressed homeowners, by Janet Petrozelle.

The Best Tips for Financially Distressed Homeowners

By Janet Petrozelle

Due to the ever increasing cost of living, job losses and interest rates, the amount of homeowners finding themselves in financial distress just keeps on rising by the year. This in turn is causing so many property owners having to face much unwanted financial distress. In all honesty, the best thing you could possibly do for your situation if you are financially distressed is to take action, as it can’t be surprising to hear that staying in a financially distressed situation is just a disastrous choice to make. So today, here at JAM properties, we will be discussing the best tips to find yourself in such an undesirable position.

1. ASSESS AND COMMUNICATE

The first thing you should do is to assess exactly where you are financially and whether or not you are in the financial position to be able to continue on with your monthly bond repayments. If you aren’t, the next step for you to take is to contact your bank ASAP and communicate with them, letting them know what is going on. This is because if you default on a bond repayment, this could lead to some dire consequences such as a

tarnished credit record or having to completely forfeit your property. However, if you do take the time to inform your bank of your current financial position, these undesirable consequences may be prevented as the best thing for the bank is for you to keep on living in your property and paying the bond. Hence, the likelihood of you being able to reschedule your payment or being offered some helpful financial advice would increase.

2. UTILIZE THE PROS

But in certain scenarios, your financial situation may have reached a point where it is totally and utterly out of your control.

During these times, it is a good idea to consult the professionals. An example of why this is a good idea could include a financially distressed homeowner using a debt counselor. A debt counselor will be able to help you to assess your current financial position and give you some professional advice on what you should be doing in order to keep moving forward and come up with a repayment plan. In addition, to make sure that your property won’t be repossessed and that no legal action will be taken against you, they will be able to help you to apply to the court and get the repayment plan approved.

3. SELLING YOUR PROPERTY

If the two tips above can’t help you to make sure your home isn’t going to get repossessed, putting your distressed property onto the market ASAP is probably the best option. In order to do this as smoothly as possible, try contacting your local real estate agency as they most likely will be experienced in selling distressed properties and will be able to give you advice on the best ways to ensure that your property will get sold off the market at the top price.