It's quite difficult for families to think straight when they are going through a foreclosure situation. Navigating a potentially complicated time can be pretty daunting. Some homeowners will try and go about it alone while others seek out professional advice at a premium price. In some cases, people will hire a foreclosure defense attorney to represent them. It isn't always necessary, and we're going to take a look as to why defense attorneys are often just taking homeowners money.
The pre-foreclosure process can be a very involved in some situations especially when homeowners have additional debt extending beyond just their home. For example, a homeowner could run into a challenge where they cannot afford to pay their mortgage but also have payments due with possibly cars or even other luxury items. In situations like this, it may justify hiring a foreclosure defense attorney. It would also depend on what makes sense at the time, and if the homeowner is reluctant to let go of their property.
There have been many instances where foreclosure defense attorneys step in to offer services to homeowners facing foreclosure that do not carry debt outside of their home. In fact, the majority of homeowners are not carrying much debt at all and in a lot of cases its only around $10,000. For circumstances like this, a homeowner does not need to contend the expense of an attorney when more cost-effective, streamlined solutions are available.
Most attorneys helping families through foreclosure will offer bankruptcy has their primary solution to stop the process with the bank and the court. While this is viable and will surely put the process on hold, it's not always the best solution. There are many ways to achieve the desired result, and you don't always need a hammer to kill a fly. Plus filing bankruptcy has numerous long-term consequences, and the entire process can be costly.
While preparing for bankruptcy attorneys will sometimes attempt to start the loan modification process with the bank and get the ball rolling on your behalf. It's is a good idea if it's a complex situation, but it can also drag out the process over an extended period. It may not be necessary for most families looking to get out of a foreclosure situation.
Instead, homeowners can work with an investment team which can provide several more benefits and is also drastically more cost-effective. An experienced investment team will have seen many scenarios offering an in-depth perspective that is unparalleled for the homeowner. Not to mention, if an investor hasn't seen a situation, they can quickly reach out to somebody who has. Attorneys tend to use tactics resulting in dragging the process out even longer than necessary where investors understand time is money.
To conclude foreclosure defense attorneys provide an excellent service to homeowners when they are dealing with a very complicated foreclosure situation. They offer great value when homeowners carry a lot of debt outside of their primary home. Real estate investor teams tend to be exposed to more conditions because they are working in the trenches daily. Real Estate Investor teams usually have access to better attorney rates because of their vast network and experience.