For homeowners struggling with debt problems, losing your home is the ultimate nightmare. Not only will you suffer the emotional upheaval and traumatic change of lifestyle involved, you may even find that it isn’t the end of your financial problems. Your property can be sold at much less than the market value, which might not even be enough to clear your debt, leaving you homeless but still indebted.
Fortunately, this nightmare scenario is not as common as you may think. Repossession is a last resort for your creditors, and is only an option for a select few of them. Any debts you have on credit cards, bank accounts and the like are classed as unsecured, which means that even though your possessions could be seized to pay off what you owe, your home is not directly at risk unless your debts are serious enough to warrant bankruptcy.
Although government related debts such as tax arrears can also be cleared through forcing the sale of your home, this is not a particularly common occurrence, and the main risks to your home are loans which are secured on it. This includes your mortgage and any equity loans you’ve taken out.
Mortgage lenders will not...
To view and download this full PLR article, you must be logged in. Registration is completely free. Once you create your account, you will be able to browse, search & downlod from our PLR articles database of over "1,57,897+" on 1,000's of niches and 200+ categories without paying a penny. Click here to signup...
