People Ask Us That All the Time...

• Should I ignore all the letters and calls I've received from other companies who want to "help me keep my home?"
  At the very least, ask lots of questions and review offers very carefully. Some firms are legitimate, but others are scams designed to give investors a chance to buy your home cheap. Still others will ask for big fees up front, giving them little motivation to work hard for you. Some are outright crooks. Beware of big promises.
• Why will my lender work with you to settle my foreclosure, but not with me?
  Because lenders know that most homeowners are not financial professionals, and they know that this is a deeply emotional matter. Therefore, they don't think you can be objective or rational about doing what needs to be done to save your home. But Safe Haven Funding, Inc. is a third party of financial professionals who can step back and represent your best interests without getting emotional. Lenders love to work with us because we speak their language…and that's good news for you.
• What about bankruptcy?
  Declaring bankruptcy in a foreclosure situation is generally a bad move, and can be disastrous for your credit. Attorneys will often push for this solution, simply because it's easiest and most profitable for them. But bankruptcy will devastate your credit and make it nearly impossible for you to buy another home for years. Talk to Safe Haven Funding, Inc. about all your other options before even considering bankruptcy.
• Can I refinance if I'm in foreclosure?
  Yes. Refinancing is one of the most common tools we use to keep our clients in their homes. With interest rates so low, there are many options for homeowners, even those who have already refinanced.
• How long does foreclosure usually take?
  It depends on the situation. Every case is different. It normally takes four months but can take six weeks or six months, depending on how fast you respond and how willing your lender is to work with you.
• How can I avoid getting scammed?
  Take some basic precautions:

  • Don't sign any documents that confuse you. Show them to an attorney.
  • Get all "promises" in writing.
  • Beware of any loan assumption offers where you are not formally released from liability for your mortgage debt and contracts of sale.
  • Check with a lawyer or your mortgage company before entering into any deal.
  • If you're selling the house yourself to avoid foreclosure, check to see if there are any complaints against the prospective buyer. Contact your state Attorney General, State Real Estate Commission, or local District Attorney's Consumer Fraud Unit for this information.

  If you decide to do business with another foreclosure consulting company, be sure that they are operating within the boundaries of the law. According to California law (CC § 2945) it is illegal for a foreclosure consultant to do any of the following:

  • Charge, demand or collect any fee or compensation from you until after the consultant performs the service he contracted to perform
  • Charge a fee that exceeds 10% per year of the amount of a loan he obtains for you
  • Take any lien on your property or any other type of secured payment
  • Take a power of attorney except to inspect documents
  • Assume ownership of your property that is in foreclosure
  • Cause you to enter into a contract that waives any of these requirements
• Can my lender just come and evict me?
  No. It takes a court order to force you to leave your home. Ultimately you may be evicted, but there are procedures within the court system that the mortgage holder must follow-first for the foreclosure, then for the eviction. It takes time.
• Can I just sell rather than deal with foreclosure?
  Yes. This is called a compromise sale. A foreclosure notice does not prohibit you from selling your home as long as you own it. However, you must act quickly and select the right real estate professional, one well versed in these types of sales. You should also make your self aware of the costs involved in selling. In most cases, realtor's commission and closing costs will total 8% of the sales price.
  
  As an alternative to selling, consider leasing the property to a qualified renter. Leasing may help you avoid taking a big loss on the equity you've built and will rapidly rebuild your credit, as you will resume making your mortgage payments on time. Being a landlord does have drawbacks, however, such as dealing with difficult tenants and performing maintenance. Make sure you know your risks before deciding to proceed.
  
  If you think that saving your equity and rebuilding your credit sounds good but don't want the responsibilities of being a landlord, contact Safe Haven and ask about Equity Rescue.
• What should I do if I've already received a foreclosure notice?
  Several things:
  
  1. Do NOT ignore the letter! Contact your lender immediately. Explain your situation and why you are having trouble making your payments. Provide them with your monthly income and expenses and be honest!
  
  2. Do not move out of your home! If you do, it may be considered abandoned. You are allowed to stay in your house during the entire foreclosure process.
  
  3. If you bought your home with a Veterans Administration (VA) guaranteed loan, call the VA office nearest you.
  
  4. Contact Safe Haven Funding, Inc. immediately.
• What questions will my lender ask?
  Be prepared in advance to provide a wide range of information, and answer questions sincerely:
  
  1. What has caused you to fall behind in your payments? Explain the situation that led to your problem, such as a layoff, a medical expense, credit card debt, etc. Tell the truth.
  
  2. What are your current resources? Write down your current monthly income. Include all dependable sources of monthly salary or wages, such as:

  • disability benefits
  • public assistance
  • VA benefits
  • Social Security benefits
  • savings accounts
  • your spouse's or children's income
  • insurance policies (or other policies) against which you may borrow
  • other dependable income

  3. What are your other debts and expenses? List the essentials. It's better to give up a second car, boat or credit cards than to lose your home. Be realistic.

  • monthly food bill
  • average monthly utility bills
  • monthly loan payments
  • monthly credit card payments
  • annual insurance premiums
  • alimony or child support payments
  • unpaid past and future medical expenses
  • all other current obligations

  4. What are your plans? Have a plan to solve the problem. Your attitude, outlook and plan will influence how far the lender will go to help you.
• How many people actually lose their home in foreclosure?
  From 5% to 7%. The majority either refinance or sell.
• What will foreclosure do to my credit?
  Foreclosure can ruin your credit rating for years, making it very difficult for you to buy another home. Avoid foreclosure at all costs to preserve your credit rating.
  
  Our Equity Rescue program is designed to help you rebuild good credit and save the equity in your home for a down payment on a future home. This unique program can help you buy a home again in as little as two years…at no cost to you! Depending on your situation, you may even be able to cash out some of your equity for current expenses. Click here for more information.