Falling behind on your mortgage payments in Nashville can feel like drowning in debt.
Even if you’re managing to make your current payments, catching up on past-due balances can feel overwhelming.
The good news is, there are several options that may help you avoid foreclosure in Nashville-and in some cases, even keep your home. While many properties in the area have unfortunately been lost to foreclosure, there are still proven ways to prevent it.
Help, I’m Behind in My Mortgage Payments in Nashville! 5 Things You Can Do To Help Your Situation
1. Bankruptcy:
Bankruptcy is typically a last resort, but it can be a useful tool if you’re overwhelmed by debt. It allows you to negotiate with multiple creditors at once. However, it’s important to note that bankruptcy won’t eliminate your mortgage, and different lenders may treat your situation in different ways. If you’re considering this option, it’s crucial to seek high-quality professional legal and financial advice.
2. Reaffirm the Loan:
Reaffirming your loan means committing once again to repay the debt, even after filing for bankruptcy. While this can be beneficial in certain cases, it may also carry hidden risks. In some states, reaffirming a loan could leave you personally liable for any deficiency if the property is later foreclosed and sold for less than what’s owed. Proceed with caution and legal guidance.
3. Making Home Affordable (MFA) program:
If your mortgage qualifies, you might be eligible for assistance through the Making Home Affordable (MHA) program. Mortgages backed by Fannie Mae or Freddie Mac must be considered for MHA, and some private lenders also participate.
MHA may offer reduced interest rates, lower monthly payments, or even a reduction in the principal if your home is worth less than what you owe. If you’re unemployed, you may be eligible for temporary payment relief.
Keep in mind: MHA is a government program and involves significant paperwork. It’s not free money-you’ll need to put in time and effort.
4. Negotiate with your bank:
Many lenders offer hardship programs or loan modifications—but you have to be proactive and persistent. While banks often suggest refinancing, if you’re already behind on payments, that may not be an option.
Successful negotiation usually requires multiple calls, patience, and a calm, respectful approach. Never be rude or desperate. Instead, explain your situation clearly, provide documentation, and express your desire to remain in your home long-term.
In some cases, lenders may allow missed payments to be added to the end of your loan or rolled into the principal balance. Remind them that helping you avoid foreclosure is in their financial interest too-selling at auction often means a substantial loss for them.
Although this may seem obvious, it’s a point that can get lost in the bureaucracy.
5. Borrow money from a private investor:
While it can be difficult to qualify, borrowing money from a private investor is an option worth considering. That said, it’s typically a challenge-especially when you’re already behind on payments and struggling with debt. Naturally, investors will ask: Why should I lend to someone in financial distress?
These types of loans often come with significantly higher interest rates. However, if you can demonstrate a clear plan to get back on track financially and show that the loan would truly help you stabilize your situation….this could be a viable short-term solution.
6. Sell your property
If you’re behind on your payments and need to sell fast, we can help.
In certain circumstances, we may even be able to help you stay in your home.
We work with homeowners in Nashville to find solutions to foreclosure problems.
We’ll let you know how we can help.