Do the foreclosure help companies actually work?

dhawks · Joined: 23 Jan 2006 Posts: 4

I am currently way behind on my mortgage to the tune of about $12,000 with attorney's fees. I received a phone call about Foreclosure Help where if I can make payments now, I can save my home.

Basically I give them $995 and their attorney blocks the foreclosure. At the same time we put our monthly payments into a savings account. They then negotiate with our bank to work everything out.

The other problem is that we already did a mortgage modification less than a year ago. My wife has a temporary disability which is keeping her from working for at least another 4 months and that is why we've been behind.

I've heard of this kind of thing working, but am obviously skeptical. I've already been down the road of trying to work it out with the bank and they claim it can take 4-6 weeks with a huge down-payment.

Has anyone ever been through this and does it work? Any companies to suggest?

Sincerely,
dhawks
State: PA
County: Butler
1st mtg: $116,000 w/past due amt included
2nd mtg: $8,000 currently up to date
Foreclosure date: not yet determined
I would like to go back to making regular monthly payments again.

The Mortgage-Pro · Site Admin Joined: 19 Jan 2005 Posts: 2248

What is your home valued at? I would be very skeptical of these companies. Especially if you have to give them money before they help you. If you are already in forbearance I find it hard to believe the bank will negotiate further. You should probably take to a foreclosure attorney who is also well versed in bankruptcy law.

dhawks · Joined: 23 Jan 2006 Posts: 4

The value is anywhere from $125-150k+, but our credit is horrible.

The Mortgage-Pro · Site Admin Joined: 19 Jan 2005 Posts: 2248

I would recommend you talk to a foreclosure attorney.