A conversation with the nice lady who was referred to me this morning was a reminder of why so many properties go to foreclosure auction unnecessarily. I feel bad for her. Her common law husband passed away around this time last year and with him what little income they were surviving on. She has been trying to get on disability income since that time. Meanwhile the house payments are far enough behind that the bank began sending back the payments she was able to scrape together.
At this point she is five weeks away from the foreclosure sale date. There is about $50,000 equity in the property. She doesn’t even need a short sale. We could sell her home and she would walk away with thousands of dollars which she and her 9 year old son desperately need. Instead she is going to attempt to find someone to help her get the bank to work with her even though they have refused for the past year. It’s bad enough to see a struggling homeowner have an unnecessary foreclosure when they could have avoided it with a short sale on their property, but this is much worse.
I know there are many reasons why a distressed homeowner wants to hold on to the home they are losing but it’s hard to watch. It’s hard to watch because I know the inevitable outcome; despite the time, energy, and emotion I’m sure she will put into trying to save her home, and it is devastating. It is a hard reality to accept but sometimes things just don’t end up the way we had envisioned. However, trying to force something that is not realistic can often times result in a worse outcome than just leaving the home you love. In many cases that outcome may haunt a person much longer than necessary. This is usually the case with a distressed homeowner who refuses to let go of their house and be proactive in avoiding foreclosure.
I have found that people who are struggling with an unmanageable mortgage do one of two things. Either they become proactive and are able to avoid foreclosure, resulting in a better scenario with less recovery time down the road. Or they bury their head in the sand and find themselves in a worse situation down the road than when they first realized they were headed for foreclosure. It is up to each individual homeowner which way they want to go. Unfortunately many times doing the right thing includes the difficult decision of letting go.
“Grant me the courage to change the things I can, serenity to accept the things I can’t, and the wisdom to know the difference.”