1. First.., see what our Government website has to say at: www.hud.gov/offices/hsg/sfh/econ/econ.cfm
.... they do NOT want you to loose your home. The tips and ideas there may just save your home.

Then..., if needed you can consider step 2.

2. NEGOTIATE A LOWER PAYMENT* DIRECT WITH YOUR LIEN HOLDER. * Also called a Loan Workout.
 

Editors note: "Before you read this news release, please know that to Negotiate your own loan is very difficult in most all cases. This is because most home owners do not know how to bargain for a good deal. I highly recommend a professional to negotiate on your behalf. Contact me for professional help. Read this article ....about what can go wrong for some people. Contact me, Broker Don Leske II, for professional help. DJL/Editor RISMEDIA, Oct. 1, 2008 - As congress considers various bailout proposals for the financial system, there is a little known ‘bailout’ for home owners that has already been enacted into law, according to Gibran Nicholas, Chairman of the CMPS Institute, an organization that certifies mortgage bankers and brokers. Section 1403 of the new housing bill that was signed into law on July 30, 2008 (HR 3221) requires mortgage servicers to modify loans for homeowners and help them avoid foreclosure as long as three requirements are met: 1. Default on the mortgage either has already happened or is “reasonably foreseeable” 2. The home owner is living in the property as his or her primary residence 3. The lender is likely to recover more through the loan modification or workout than by forcing the home owner into foreclosure “The fact is that this law is effective immediately, and most distressed home owners are simply not aware that they have this option,” Nicholas said. Borrowers make their monthly payments to mortgage servicers, and servicers keep a portion of the payment as their profit while sending the rest to the Wall Street investors who actually own the mortgage. “This law requires servicers to act in the best interest of all their investors and obligates them to modify your loan if you can afford the modified loan terms and if they are likely to recover more for their investors by working with you than by going all the way through the foreclosure process,” Nicholas said. When negotiating a loan modification with your mortgage lender, it is advisable to follow this four step process: 1. Make sure you are dealing with your lender’s loss mitigation and/or work out department. 2. Write a hardship letter demonstrating job loss, serious medical condition, balloon payment coming due, adjustable rate reset or some other financial calamity that will make it impossible for you to continue making your mortgage payments as scheduled. Unless you are in imminent danger of default as required by this new law, lenders are not likely to work with you. 3. Send the lender your financial statements, employment records, tax returns and bank statements demonstrating how you would be able to afford the modified loan terms under your present financial circumstances 4. Send the lender a current appraisal of your home or some documentation on recent comparable sales in your neighborhood demonstrating the current value of your home. “The key is to demonstrate how the lender is likely to recover less money through foreclosure than they would by working with you in your proposed loan modification plan,” Nicholas said. ...... It may be advisable to consult with an attorney - especially if you qualify for a loan modification under the law and your lender still refuses to work with you. Copyright © 2008, Detroit Free Press Distributed by McClatchy-Tribune Information Services.

3. REFINANCE - your home at a more favorable rate and/or lower payments. This is depending on what you owe, your credit rating and other factors. Please feel free to call my son Ben Leske at City Bank in Puyallup, at: (253) 202-3355......questions and answers are Free! (please tell him you found him on his dads website...)

4. LIST your home For Sale! - We are Licensed Real Estate Agents and I am also the Senior Broker at BCI Properties, LLC with offices in Tacoma Washington. I am sure you are aware by now that the market is not good for selling at this time. I do not recommend that you sell your home unless you must do so. Wait until the market gets better if you can, live in your home until then or rent it out... but keep it if possible. If you decide to sell, you will NOT pay our Real Estate Brokerage a fee unless we sell your home! Call or email me today to talk about starting the process now to "list" your home for sale. I have answers! See more details - Click Here to see our Fee & Options Schedule. Or call me direct: (253) 241-6695 / Don Leske II.

5. Rent-to-Own - Notice that this is a whole separate category. There are some licensed real estate agents do not know how to do this properly, in my humble opinion. They help people buy and sell homes and properties, not rent. Renting properties is a whole different ball game and "Rent-to-Own" is totally different, like the difference between Rugby and American Football, both played with a ball but totally different. Options; you can hire a real estate attorney who will ensure that the paperwork is done right in general, or you can hire someone like BCI Properties, LLC who is a rental management company and licensed Real Estate Brokerage... specializing in rental properties. We arrange Rent to Own programs for property owners.