Tips to Avoid Foreclosure In Wisconsin

We hear from a lot of folks in Wisconsin that are having trouble paying their mortgage and are looking for tips to avoid foreclosure. They ask us if there are ways to avoid foreclosure, can you stop foreclosure once it starts, are there loans to stop foreclosure, can the government or HUD help me stop foreclosure, and many other foreclosure prevention questions.

So we put together this helpful guide with lots of resources and tips on foreclosure prevention options in Wisconsin. Although quite a few of these options can be applied nationally in the U.S., this guide is for Wisconsin only. Each state has its own statues on foreclosure law and may have more or less options.

Here is a list of the topics by section that we outline in this Wisconsin foreclosure prevention guide. Use this list to jump around by section as desired:

A couple of housekeeping items before we get started with the in-depth foreclosure assistance guide:

  • We compiled a guide specific to COVID-19 mortgage or other financial relief options as well. You can find specific information and links to PPP or the CARES act in that reference guide.
  • This foreclosure avoidance guide is designed to help provide you with all the information you need to potentially avoid foreclosure and keep your home. However, if for one reason or another you’ve already made up your mind and are looking to sell your home quickly to avoid foreclosure in Madison or Dane County Wisconsin, visit our get an offer page to talk to us about selling your house and whether that might be the right thing for you to do, regardless of the condition of the house.
  • Finally, this is not legal advice. If you’re facing foreclosure, you should consult an attorney (we share some independent mediation and legal council links below but there are many options out there). Also, the law changes with time so some options below may change accordingly.

Good, now let’s get started with the foreclosure prevention guide.

Your First Goal: Avoid Foreclosure if Possible

In some respects, it goes without saying that you want to avoid foreclosure. However, some folks more or less give into the idea that foreclosure is inevitable. Well, we’re here to say that you may not have to give into foreclosure. While it’s not always possible to avoid foreclosure, there are options that some folks don’t consider. Exhaust your options and do what you can to avoid foreclosure if at all possible. Why are we emphasizing this so much?

Here are several reasons you will want to avoid foreclosure if possible, outlined by Fannie Mae:

  • Eviction from your home and uncertainty and stress of finding a new place to live
  • Loss of equity – If you have any equity, you won’t be able to capture it as it gets forfeited to the foreclosing entity
  • Damage to your credit will affect your future ability to get new housing (including rental prospects), damage your credit score significantly, and could even impact your employment outcome, all for many years to come
  • You may actually still owe a deficiency balance. The foreclosing entity can ask for this, though that doesn’t necessarily mean the court will grant it
  • You will likely lose any relocation assistance or leasing opportunities that may otherwise have been available
  • Forfeit the ability to get a federally backed mortgage to purchase another home for at least 7 years depending on which entity held your mortgage (Fannie or Freddie Mac)

So there you have it. Explore your options below and feel free to reach out to us if you have questions for us about our services or would like our opinion about the foreclosure help options below.

Understand Your Mortgage And Talk to Your Lender

Seriously? Yes, we would seriously recommend taking a look through your mortgage. Why? Simply put, each mortgage is different. Some mortgages have provisions that others do not have. Some may allow for certain types of relief or expanded payment options depending on your circumstances.

Some things to look for in your mortgage paperwork:

  • For one thing and if applicable, there will be a section for specific disclosures related to anything that is a government-backed loan, so right there you know if provisions related to Fannie and Freddie Mac might be options for you.
  • Mortgage modification provisions will be outlined, if any.
  • Monthly statements: You likely receive monthly statements from your servicer due to the requirement under the Periodic Statement Rule of your mortgage. If you are in some form of mortgage delinquency, they are required to provided delinquency information. Reference that as it will probably give you a nice bullet point approach to at least their initial stance on the situation.

Regardless of what your mortgage fine print says, check in with your lender if you haven’t already done so. Do this soon! The sooner you inform the lender of your situation, the more options that will be available to you.

Not all lenders are created equal and many bankers and smaller community or regional banks will try and help if they can. They may discuss foreclosure prevention options and suggest some form of loan modification, refinancing, or assistance programs as outlined below in further detail. Plus, since they may know your particular situation (or you can explain it to them) they may be able to quickly point you in the right direction.

Also, keep in mind that just because you used a local bank to get your home mortgage, that doesn’t necessarily mean they still own the mortgage itself. Often, the bank you got your mortgage through has passed it onto one of the larger mortgage servicers in the country, the largest of which are again Fannie and Freddie Mac. You’d likely know if this were the fact because you probably had to set payments up or write your monthly check out to the servicer, not your originator. Even if that is the case, contact your originating lender as they may be able to help still.

The foreclosure process can and will change with various introductions into law and depending on your particular situation. Check out this Wisconsin State Bar association article about typical mortgage foreclosure proceedings in Wisconsin to get a good idea of how the foreclosure process typically unfolds.

Finally, here are the Wisconsin foreclosure statutes for reference if you want to get into the legal stuff yourself.

Is Bankruptcy To Avoid Foreclosure a Good Option?

I’m sure you can take a guess that avoiding foreclosure through bankruptcy is not the first option in anyone’s mind. That said, believe it or not, bankruptcy actually could help to avoid or stall foreclosure. But not always! The type of bankruptcy is particularly important in this discussion.

This is definitely an area that we’d recommend consulting an attorney specializing in bankruptcy and/or foreclosure law to discuss the specifics of your situation. Filing for bankruptcy should not be a decision made lightly so make sure you talk to a qualified professional regarding whether such a move should be open for consideration. Here’s a quick outline regarding your two primary bankruptcy proceeding options.

Chapter 7 Bankruptcy

Key: Will NOT stop foreclosure.

Chapter 7 is what’s referred to as a liquidation bankruptcy. You can eliminate your unsecured debt including medical bills, pay day loans, installment loans, and credit card debt.

As it relates to foreclosure, Chapter 7 generally creates an automatic stay on your property meaning the lender is temporarily prevented from continuation of foreclosure proceedings. Chapter 7 will also help avoid deficiency payments as we noted in the first section of this guide as to why avoid foreclosure if at all possible.

However, Chapter 7 bankruptcy will not stop foreclosure if the mortgage company wants to continue with the foreclosure. Perhaps your bankruptcy changes things enough financially where you’re able to meet the mortgage requirements and the lender is willing to work with you. Again, you’ll need to speak to an attorney and your lender to see what your options are if you go down this road.

Chapter 13 Bankruptcy

Key: Does or at least CAN stop foreclosure under certain circumstances.

That’s a big deal and just might be a last bastion of hope if you want to keep your home at all costs. Chapter 13 bankruptcy again puts an automatic stay on further foreclosure proceedings. However, in the case of Chapter 13 you’re actually preventing future foreclosure assuming you meet the requirements of the court during and after your bankruptcy proceedings.

Two key provisions are important to determine if Chapter 13 will help you stop foreclosure.

  1. You are employed with a steady source of income
  2. You make enough to meet your Chapter 13 plan payments as well as your current mortgage payments after the Chapter 13 is filed

A more thorough outline of the bankruptcy protection information above can be found by following the link.

Avoiding Mortgage And Foreclosure Scams

We intentionally placed this section before any modification options below because you absolutely should be aware that there are plenty of bad actors out there willing to take advantage of people in vulnerable situations. Mortgage modification and foreclosure scams have been around for quite some time but really took off during the 2008 financial crisis.

There were many laws passed since then, not least of which in the Dodd-Frank and Consumer Protection Act, but there are plenty of people that would still try and take advantage of your vulnerable situation still around. There may also be technically legal options but used by unscrupulous actors with malicious intent through the creation of very poor terms in any agreement you would sign.

If you are at risk of foreclosure, it’s important to try and remove your emotions from the equation. This is a hard thing to do when you are talking about what is most often times someone’s most valuable asset. Do the best you can. For reference throughout this guide, HUD refers to the Department for Housing and Urban Development. While not an exhaustive list, here are some important tips to avoid foreclosure scams:

  • You can apply for mortgage assistance on your own or with FREE assistance from a HUD-approved housing counseling agency by calling 888-995-HOPE (4673). Here’s a link for Wisconsin registered HUD-approved housing counselors.
  • Signing: We would recommend you do NOT sign anything without your attorney having reviewed the documents first. Do not sign if you feel you are being pressured. Do not sign your mortgage or deed over unless you are working directly with your mortgage company.
  • Only your mortgage company can grant a loan modification.
  • If someone is trying to charge you in advance, this is most likely illegal and you should therefore walk the other way.
  • Know you mortgage company mailing address and ensure you do NOT send payment to any alternative locations or individuals. They may be posing as your mortgage company.
  • Beware of cash offers to buy your home. I mention this because not all cash offers are created equal and some investors employ unethical tactics. Yes, our company actually buys houses through cash offers and yes, it can be a good decision if you actually want to sell quickly and avoid the foreclosure and resulting credit issues but be wary of high-pressure sales tactics and unexplained offer prices. Our company explains all of these things to you and let’s you make the decision that’s right for you on your own terms. By the way, have you considered listing the house? That may still be an option for you and again, we can help you review these options side by side.

You can find a full list of foreclosure avoidance tips along with further information regarding HUD approved housing counseling and much more at or at The Wisconsin state statutes governing foreclosure law can also help in determining potential scams related to foreclosure.

Mortgage Payment Assistance or Forbearance

There are numerous assistance and mortgage payment forbearance programs out there that may help to stop the foreclosure on a home in Wisconsin. A quick reminder that if you are facing foreclosure due to the COVID-19 pandemic, we put together an additional resource page specific to COVID-19 foreclosure prevention options. These programs will likely be temporary in nature so the following prevention options are more likely to stick around.

We would again emphasize that if you are starting to have a difficult time making payments on time that you should talk to your lender or mortgage servicing company as quickly as possible. Discussing these things earlier leaves more options on the table for both parties.

Regardless of the broader government assistance programs discussed here, they may come to unique terms just for you based on your circumstances that allow for partial or full payment forbearance and additional repayment plans. You may also be eligible for a refinancing option which we go further into in its own section below. The banks typically do NOT want to take your home back as there is real cost associated with the foreclosure, holding, and resale of foreclosed real estate.

We want to quickly point out that unfortunately, two programs to stop foreclosure with government help are no longer available. The Home Affordable Modification Program (HAMP) expired in 2016 and the Home Affordable Refinance Program (HARP) expired in 2018. Alternative options are discussed below but again, we’d recommend reaching out to your mortgage servicing company or lender to discuss these or other options in further detail.

  • The Wisconsin Housing and Economic Development Authority (WHEDA) has some good broad-based guidance on options specific to Wisconsin as well as national programs on forbearance, repayment plans, modification, and more.
  • There are various foreclosure assistance grants available through a number of non-profit organizations throughout Wisconsin. These are in the form of Housing Cost Reduction Initiatives (HCRI) grants which are mostly funded by the State of Wisconsin Division of Housing. These often vary by your county or region and have different criteria that need to be met in order to qualify. A list of the foreclosure assistance grant eligibility and recipients can be found on the HCRI site.
  • Fannie Mae provides a lot of guidance about modification, assistance, and anything else mortgage related for the mortgage servicing and consumer relationship. These mostly pertain to government backed (Fannie or Freddie Mac) loans.
  • According to LendingTree, one primary objective and option for the consumer is the Fannie/Freddie Mae Flex Modification program. The goal of this program is to reduce mortgage payments by 20% and ideally get the homeowner to a 40% debt-to-income-ration. This program can be applied to any mortgage delinquency that is late on payments for less than 60 days, can be used only on conventional loans, the origination of the loan must be more than 12 months ago, no current forbearance program is applied to the loan, it can’t have already been modified three or more times, and you can’t have already failed a Flex Modification program in the past.
  • An FHA-HAMP (available through the Federal Housing Administration) program seeks to assist those that “do not qualify for other loss mitigation programs and with adequate debt-to-income ratios.” The program allows homeowners to reduce monthly mortgage payments after the qualifications of sustainable debt-to-income and a trial payment plan have been verified. This program only applies to FHA-backed mortgages.
  • Are you a Veteran or surviving spouse of a Veteran? You can receive VA housing counseling regardless of whether the loan is currently VA direct or backed loan. If your loan is VA-backed or a VA direct loan, you can work with the VA to determine what your options for mortgage payment assistance or modifications. You can contact a VA loan technician at 877-827-3702.

Foreclosure Avoidance Mediation and Legal Assistance

Working through all of your options with a lender that’s willing to work with you can be a daunting enough task. If you have a lender that’s not willing to cooperate or provide any amount of assistance or loan modification, you’re probably beyond frustrated and even scared about your prospects for keeping your property.

While not a panacea by any means, you do have some options. There are government approved and private sector folks that do their best to assist folks in negotiations with your lender in an effort to stop the foreclosure process. We would encourage you to skip back up to the section about avoiding foreclosure scams to ensure you follow best practices when contacting anybody that’s not in a government agency.

How Can HUD Help You Avoid Foreclosure?

  • HUD can help with general advice not only on foreclosure avoidance but also on other home buying, rental questions, credit issues or reverse mortgages. HUD approved housing counselors are available by phone at (800) 569-4287.
  • Looking for a list of HUD approved housing counselors in Wisconsin? Here’s the list on HUD’s website.
  • Foreclosure prevention counseling is available for free through HUD’s Housing Counseling program.
  • Tips for negotiations with your lender when they won’t work with you are also available on HUD’s working with your lender page.
  • Help is also available at the Homeowners Hope Hotline at (888) 995-HOPE for assistance in working with your lender.

Other Housing Counseling and Mediation Options

  • Mediation is an option that directly involves the courts in your local jurisdiction and an intermediary (mediator) that’s an expert in foreclosure assistance. The mediator works directly with your lender to try and come to a resolution that works for both parties. There’s no guarantee of a successful resolution but it could be worth a shot.
  • The Wisconsin Foreclosure Mediation Network has put together a nice resource page for homeowners in need of assistance. The organization is a non-profit and does not charge a fee for mediation assistance. However, a fee is needed for the mediation session itself and varies by region in Wisconsin.
  • If you go through the foreclosure mediation process, you do not need to have a foreclosure lawyer as well. However, a foreclosure lawyer may be able to help come to the best resolution possible. As you might expect, lawyers are usually not free of cost so you’ll need to weigh the costs with the potential benefits and make a determination accordingly. There is a resource page along with foreclosure lawyer referral options on

Mortgage Release

Two common options that homeowners might consider as foreclosure prevention options are a mortgage release or short sale. You can view a table with the advantages and disadvantages of the mortgage release vs short sale vs foreclosure options on the Fannie Mae site at the bottom of the page by clicking on the “Foreclosure Comparison” tab.

First, here’s an outline of the mortgage release option along with an example of where this option saved someone a lot of trouble:

  • A mortgage release is also commonly referred to as a Deed-in-Lieu of Foreclosure.
  • This instrument is used to voluntarily transfer the ownership of the real estate to the owner of your mortgage. As a result, you will be released from your mortgage loan and payments.
  • Eligibility is determined by the amount you owe, how much the property is worth, your current overall financial or hardship condition, and the condition of the property.
  • You may be eligible to remain in your house for a limited amount of time and may even qualify for relocation assistance.
  • Besides the obvious elimination of your mortgage debt, you’ll also benefit from a much more limited impact to your credit as well as future eligibility timeline to obtain a mortgage.

Is a Short Sale an Option?

A short sale is another common foreclosure prevention option in Wisconsin. The short sale has some similarities with the mortgage release option, or deed-in-lieu of foreclosure, but also has some key differences. Here are some benefits and differences between the two along with a short explanation and success story video from Fannie Mae.

  • A short sale is something that needs to be agreed upon by the lender and is also known as a pre-foreclosure sale.
  • A short sale of a real estate asset means the property in question is sold for less than the amount still owed on the mortgage.
  • Pre-foreclosure sales necessitate a successful sale of the home. The home is often listed on local MLS marketplaces and offers are submitted to the lender for approval. This is a key difference between a mortgage release and a short sale.
  • Upon a successful short sale and similar to a mortgage release, you are relieved of the primary mortgage debt associated with the home. However, the amount between the short sale and mortgage may or may not be forgiven. This is taken on a case by case basis and will be part of the negotiations with your lender when determining the terms of the short sale agreement. If the lender elects to attempt to collect the difference between the sale and mortgage, they will file for a deficiency judgement.
  • Also similar to the mortgage release option, a successful short sale will also be much less damaging to your credit, typically affecting or limiting future financing for only two years versus seven years for a full-blown foreclosure.
  • If you are facing foreclosure and a short sale looks like a viable option, you may want to jump back up to the mediation and legal assistance section because HUD approved housing counselors and mediation experts may be able to help you come to successful short sale terms with your lender without the pursuing a deficiency judgment against you.
  • Again, a bank probably doesn’t want to foreclose on your home and end up having to deal with the costs associated. Depending the the remaining mortgage amount and the potential re-sale value of the home, it may be in the best interest of both parties to execute a successful short sale. That being said, lenders need convincing sometimes. Consult with professionals including real estate agents, lawyers, and mediation experts to help craft a good argument for why the lender should seriously consider a short sale when offers start coming in instead of simply foreclosing on your home later on.
What Is a Short Sale?

Refinancing And Loan Options

It probably seems strange to think about taking another loan to prevent foreclosure. While that is an option, perhaps a loan modification in the form of a mortgage refinance could do the trick instead. Or if you have other property and have a lot of home equity, perhaps a home equity line of credit (HELOC) could do the trick. Finally, maybe it could even make sense to finance with a 3rd party lender (though be careful). Here’s a quick reference guide to these creative financing foreclosure prevention options in Wisconsin.

Refinance Your Mortgage

  • In refinancing your mortgage and in the context of trying to avoid foreclosure, you are typically looking to lower your monthly payment to something more affordable.
  • The most commonly used refinancing options to reduce your monthly payments are to lower your interest rate and/or by adjusting the length of your mortgage amortization (15, 20, or 30 years). You may be able to accomplish both of these.
  • You may also be able to adjust the “mortgage instrument.” If you have an adjustable rate mortgage (ARM) or a fixed-rate mortgage you may be able to switch products depending on your needs. Talk to your mortgage company or broker and shop around for your best options in terms of both interest rates and mortgage products. Be careful with ARM’s because, well, they are adjustable and will therefore increase or decrease along with interest rate conditions. ARM’s are a big reason why so many people lost their homes to foreclosure during the 2008-09 financial crisis and beyond.
  • Refinancing usually involves all of the typical mortgage underwriting. This means a home appraisal, personal finance and credit score reviews. In other words, you need to qualify all over again.
  • Multiple mortgages? You may be able to refinance your mortgages into one mortgage with better terms per the points above.
  • If you do qualify for a new mortgage and can meet your new payments, perhaps you may even be able to capitalize on your existing home equity by doing a cash-out refinance which you can use to better position yourself moving forward and payoff existing debt.
  • A short refinance is where a lender refinances your home for the current market value and can help when your loan balance is more than the property’s actual worth. The conditions (declining home prices) for this haven’t been widespread for a while now (2019-2020) but conditions for short refinancing and short sales present themselves more often during recessionary periods. With a short refinance, you may be able to avoid foreclosure and the bank may take a smaller loss than they would with a foreclosure.
  • Here’s a mortgage refinance calculator that you can use to see how much you might be able to reduce your payments by.

Home Equity Loan or Line of Credit

  • In the context of discussing a home equity loan to avoid foreclosure, it’s important to look at your assets in total. For example, if you have one property that you are having a difficult time paying your mortgage on (your primary residence) but have another property that you have equity in, perhaps you will be able to qualify for a home equity loan or HELOC (line of credit) on the other property.
  • In truth, if you’re having a difficult time saving your home with the loans you already have, an additional loan in the form of a home equity loan may not be a good idea and may even be impossible to qualify for. Yes, you’ll need to qualify just like for any other loan. However, if your prospects for income or debt reduction are looking promising, you may have a shot.
  • If you pursue a home equity loan or line of credit, you’ll need to have the equity in your home or other real estate asset to begin with.
  • You can visit this site to do a quick calculation and comparison of your home equity loans and home equity line of credit options.

Hard Money Loan

  • Hard money loans are an option, but not a particularly good option. Also known as foreclosure bailout loans, hard money loans aim to refinance the balance of the existing loan and establish a new interest rate.
  • Hard money loans are available widely assuming you meet the criteria of a reasonable credit score above 500 and have a good amount of home equity.
  • The interest rates on hard money loans are extremely high, often prohibitively so, plus there are usually very high fees and the loans often carry very strict terms that favor the lender without regard to the borrower.
  • While we don’t want to paint with a broad brush, understand that many hard money lenders are predatory in the sense that they are trying to take advantage of people in emotional and desperate situations with no leverage to negotiate better terms.
  • We think that there needs to be more consumer protection when it comes to hard money loans. Please be careful and consult with a professional financial advisor and attorney before signing up for a hard money loan.

For 62+ Folks – Reverse Mortgages Explained

Reverse mortgages could fall under the last section but because of the unique nature of reverse mortgages, we thought it warranted its own heading. Reverse mortgages can be a bit tricky to understand. Think of a reverse mortgage as just another loan and it can be a loan to stop foreclosure under the right circumstances.

However, as mentioned, reverse mortgages are a bit tricky so read on to make sure they’re right for you and you can meet all of the obligations moving forward. If you’re unable to meet the reverse mortgage obligations, you may actually end up in a foreclosure situation all over again.

  • Eligibility for a reverse mortgage is heavily regulated to ensure adequate consumer protection for the older folks that would utilize the product. To be eligible for reverse mortgage, you must be at least 62 year of age and you must own the home outright or have a significant amount of equity in the property.
  • A reverse mortgage is similar in some respects to a home equity loan or line of credit in that you are tapping into the existing equity of your home. You can be paid out in lump sum, monthly cash payments for living expenses, establish a line of credit that you can use as needed, or some combination of these payout options. There may be limitations on how you can use the funds depending on the loan originator but generally, there are few restrictions.
  • Many reverse mortgages are backed by the Federal Housing Administration (FHA) and are referred to as a Home Equity Conversion Mortgage (HECM). The HECM must be originated by an FHA-approved lender.
  • To qualify for the FHA-backed reverse mortgage, you must meet the age and equity requirements as well as talk to a HUD-approved housing counselor to ensure that you have a full understanding of the reverse mortgage commitments and conditions.
  • A very important provision in reverse mortgages is that the borrower remains responsible for property. This means that the borrower is responsible for upkeep of the home in reasonable condition, paying taxes, insurance, HOA fees, and any other provisions laid out in the reverse mortgage.
  • If you are considering a reverse mortgage, please read that last section carefully and discuss this option thoroughly with professionals as well as discussing with a HUD approved housing counselor if you haven’t already done so. Failure to meet your obligations may result in you facing foreclosure.
  • A reverse mortgage comes due when one of several conditions are met; the property is sold, the borrower fails to occupy the home for longer than 12 consecutive months, or the borrower fails to meet the obligations under the reverse mortgage.
  • If you already have a reverse mortgage and are at risk of foreclosure, you have options. Many of these foreclosure prevention options have already been outlined in this guide.
  • For a quick reference guide to reverse mortgage consumer protection, here’s some things to be careful of to avoid reverse mortgage scams.

Personal Finance Considerations

Foreclosure prevention options and personal finance are not mutually exclusive. If you are at risk of foreclosure, you need to look at all of your options and potentially get a little creative in an effort to avoid the foreclosure. We’ve provided plenty of foreclosure prevention options that pertain specifically to your mortgage loan previously, but you really should consider your personal finance situation as a whole. Here are some considerations we’ve compiled from multiple sources on personal finance options you might consider to try and position yourself to better avoid foreclosure.

  • Debt consolidation! This can take multiple forms but think about your higher interest debt such as credit cards, car loans, and even student loan debt. Credit card debt should be a focus as it often times carries the highest interest rates. Credit card debt and other debt can sometimes be transferred through a balance transfer or can be consolidated to one account with a credit card debt or general debt consolidation loan that can provide a much more affordable interest rate and resulting monthly payment overall. NerdWallet provides some options for comparison. You may need a good to great credit score in order to meaningfully reduce your overall APR, or annual percentage rate. You may also qualify for personal loans, a balance transfer, and more to further help with debt consolidation to a lower APR.
  • Sell your stuff. If you truly want to stop the foreclosure process, bust out all the stops. That means selling anything you might be able to make some money on but especially focus on anything you have financing on. The most obvious asset you would want to consider here is your personal car. Consider downgrading to a more affordable option or even rely on public transportation or biking for a while. Also consider things around your house that may be valuable.
  • Get another job or negotiate a raise at work. Evaluate your social security eligibility and payout options depending on your situation.
  • Lower your home expenses. They include your utilities (use them less), cable bills, phone bills, and any other subscription payments you have.
  • We would NOT really advocate for 3rd party or hard money loans (increasing your debt to prevent foreclosure) but it’s really up to you to weigh your options in total and decide what’s best for you. If you have prospects for further income or windfall payments, perhaps this can help bridge the gap for you. As discussed in the refinance section of this guide, be careful as some of these lenders don’t play very nice and have very unfavorable terms. Review carefully and discuss with an attorney if you are considering this option. Though most personal finance experts would tell you that taking a loan out against your 401k should be a last resort option, this could be something you want to consider in an effort to achieve some mortgage relief and save your home.
  • Revisit the section on bankruptcy to stop foreclosure earlier in this guide. Bankruptcy should probably be a last resort but could help to wipe out your unsecured debt which in turn or in conjunction with one of the bankruptcy options, could potentially put you in a much better position to afford your mortgage loan and payments.

For a comprehensive list that includes many of these and other expanded personal finance ideas and cost reduction options, take a look at this guide.

Sell Your House Fast To A Local House Buyer

In this guide we have outlined quite a few tips to avoid foreclosure. Are there any more foreclosure prevention options?

Yes, there is one. Out of all the ways to stop foreclosure immediately, don’t forget about selling your home. Wisconsin House Buyers offers is a direct house buyer in Madison and Dane County, Wisconsin.

We saved the sales option for last because we truly wanted this guide to be informational and present you with all of your options before informing you of our own services. Our services are not right for everyone but if you’ve made it this far and are considering selling your home to avoid foreclosure, Wisconsin House Buyers might be a good option for you. In fact, multiple homes that we’ve purchased in the past were from clients that were starting to find it difficult to pay their mortgage.

Here’s a testimonial about one such case where one family member had lost their job and was worried about falling behind on payments:

“Everyone at WI House Buyers was so helpful and great to work with. They helped us out of a stressful situation and made the house selling experience go very smoothly. Thanks to all of you!”
Nancy R., McFarland, WI

If you’re ready to discuss selling your home immediately, tell us about your situation here: Get An Offer. If you would like to learn more about Wisconsin House Buyers and our services, here are some other helpful links:

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Are House Buyers Legit or Scam Article

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