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Is it Possible to Refinance Foreclosure Property?

The phone calls have been followed by the dreaded notice in the mail announcing that your home is soon going to be in foreclosure. But if you want to avoid foreclosure and not lose your home, you do have a few options, one of which may be refinancing. But is it possible to refinance foreclosure property?

Well, the short answer is yes and no. To find out if this is an option in your case, you will need to contact your lender. Although in some cases mortgage companies are not doing any refinancing, most are willing to at least consider it as an option.

Foreclosure is expensive. When lenders foreclose, they not only face the difficult task of trying to resell the property to recoup their investment. In this economy the value of real estate has deteriorated, so they'll probably lose money. While they are in the process of reselling, they are responsible for taxes, insurance and upkeep.

For these reasons your lender may be willing to refinance foreclosure property.

Now if your credit history is poor and you have not made much attempt to make your mortgage payments for a lengthy period of time, your chances of refinancing are probably poor.

On the other hand, if you have a good credit history, but recent financial problems have caused you to miss or be late with your mortgage payments, you may be a candidate to refinance.

There are a few possible loan modifications that may be available to you. Your lender may be willing to accept interest-only payments for a period of time. He may lower your interest rate or the length of your mortgage may be extended so your payments are smaller. It's even possible that a portion of what you owe may be forgiven and your loan restructured.

So yes, it may be possible to refinance foreclosure property. But you won't know unless you get in touch with your lender.

Want to know what else you can do to stop foreclosure fast -

For lots more free foreclosure information, go to http://getforeclosurefacts.com

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