Fighting Foreclosure: 5 Possible Approaches to Help Prevent the Loss of Your Home

When you first bought your home, the thought of losing it to foreclosure was likely the last thing on your mind. With the exception of those who intentionally commit mortgage fraud, homeowners facing the imminent loss of their home have been brought to that point by extenuating circumstances such as:

  • Job loss
  • Sudden illness of disability
  • Divorce
  • High debt obligations

Fortunately, there are several approaches that homeowners can take to prevent the loss of their home. Five of them are listed below.

Loan Modification

This is a potential option if a permanent or long-term financial problem is preventing you from making regular mortgage payments. Reducing a higher interest rate to market level or extending the note’s original terms can make it easier for you to keep up payments.

Repayment Plans

This method allows you to make up missing payments over an agreed-upon period of time. For example, if you miss a payment and $1500 is due each month, you could arrange with the lender to pay $1100 a month until the outstanding $1500 is repaid.


With a reinstatement, which is also known as a ‘temporary indulgence,’ you have the opportunity to stop a foreclosure action by making up missed loan payments as well as covering filing fees, legal expenses, trustee fees, and any other expenses incurred by the bank.

Claim Advance

If you have an FHA loan or any other type of loan that requires you to pay mortgage insurance premiums, you may be eligible for a claim advance to deal with your financial situation. If you qualify, the insurer may give you an interest-free loan to bring your mortgage up to date, and at terms you are able to repay.

File Chapter 13 Bankruptcy

Filing for Chapter 13 bankruptcy can help if you are behind on your mortgage payments and want to keep your home. This form of bankruptcy allows you to repay your arrears over a three to five year repayment plan, giving you the time you need to get your finances under control and keep the house. If the property is worth less than the amount still owed on it, it may even be possible to reduce the debt amount to the value of the home.

If you are facing foreclosure or the bank has already taken steps to seize your home, call Arnold Wadsworth & Coggin to discuss the details of your case. We are dedicated to keeping families in their homes and will use every possible resource to achieve that goal.

Written by Arnold Wadsworth Coggins

Arnold, Wadsworth & Coggins Attorneys is a premier Utah law firm serving the Wasatch Front in the areas of family law, bankruptcy, criminal law, and civil litigation. Our attorneys provide clients with exceptional legal representation and personal attention. With over 35 years of trial practice and litigation experience, we bring big firm expertise at affordable rates