Where you go for help with mortgage foreclosure depends on where you are in the foreclosure process.
If you are not actually in foreclosure, but are concerned that your mortgage lender may foreclose, go to the mortgage lender for help. Your mortgage lender is the best bet for foreclosure help because it has more incentive than anyone (besides you) to keep you in the house making payments. Your lender makes money by collecting interest payments from you, and the more stable that stream of payments, the better. Besides, homes sold out of foreclosure proceedings expose the lender to all sorts of risks, mostly that the proceeds from the foreclosure sale won’t cover the loan or, worse, that you will redeem it with the proceeds of a loan from a different lender and pay all that interest to someone else.
If you are in foreclosure, but the foreclosure sale hasn’t occurred yet, you may still be able to work with your lender. If your lender isn’t willing to work with you, you could try turning to another lender who has a security interest in your home (a second or third mortgage). A junior lender (the holder of a second or third mortgage is in a junior position) would be willing to help you with foreclosure, especially if you are in good standing with it, because paying off the senior loan allows it to take the position of the senior mortgage holder, thereby making its loan more secure.
You could also try this with a new, third party lender. If you bring in a new lender entirely, don’t go to a traditional bank as they are not likely to be willing to take such a risk. Try one of the mortgage lenders that specialize in making loans to people with sub-prime credit like Ditech.com or E-loans.com. Turning to a new lender for help could also be tricky because junior lenders may be able to object unless the new lender buys out their mortgages, which it may not want to do.
If neither of these is an option or if the foreclosure sale has already occurred,
call a bankruptcy or real estate attorney for foreclosure help. An attorney will be able to help you navigate your state’s redemption laws, if your state has them. Most states have what are called redemption laws. Generally, redemption allows you to stop foreclosure proceedings and retain title to your home if you are able to come up with the money owed before a certain deadline. Redemption laws are often very technical and can have many specific, time-sensitive requirements for them to be effective. Besides redemption laws, an attorney will ensure that your homestead exemption rights are respected.