Foreclosure
When To Fight--When To Walk Away

If you're reading this, you're probably in danger of losing your house to foreclosure. You may also be worried, depressed, and not thinking too clearly. You need some good advice, soon.

HUD has counselors who can help. Call them at (800) 569-4287.

If there's someone in your life who's savvy about money matters and really cares about you, talk to that person about your situation.

Here are some questions to ask yourself:

• Is your financial situation permanent or temporary? Does your future look bright or dim?
  
  
• Do you have enough equity in your house to make it worth fighting for?
  
  
• Do you love your house enough to give up everything else to keep it? (Cell phone, cable, new car, eating out, etc.)
  
  
• Do you have the stamina to call all of your creditors and work out reduced payment options?
  
  
• Are you willing to go on food stamps and other government assistance programs?
  
  
• Do you have someone who could bail you out, and if so, are you willing to do that?
  
  
• Are you young, strong, and healthy enough to start over or is this house your last chance at home ownership?
  
  
• Do you have dependents who might suffer if you make the wrong decision?

This could be the most important decision of your life, or you may not have any choice at all. The important thing is for you to understand and take responsibility for doing the right thing, now, so you won't be sorry, later.

Here are some things you can do:

Call your mortgage holder and get a complete explanation of your options and what's going to happen with your loan.

Call a realtor and find out what your house is worth in the current real estate market.

If you're able to work, call a career counselor and find out what your value is in the current job market.

Call social services and find out if you're eligible for any type of assistance.

Take a long walk and think about your strengths and weaknesses, assets and liabilities, dreams and desires.

Ask yourself what would happen if you fight and win? What if you fight and lose? What if you just give up and walk away?

If you decide to fight for your house, here is an article that might help:

Avoid Foreclosure

If you decide to sell, here is an article that might help:

Building Sweat Equity

I can't help with your decision, unfortunately, but I can give you one piece of advice from personal experience. Don't let ignorance or embarrassment take the decision out of your hands or make things any worse. We all go through rough spots. Learn everything you can about your situation, your rights, and your options. Yes, it's embarrassing or even humiliating to be in this position, and have to discuss your problems with other people, but you'll be much better off for facing your situation head-on, than trying to hide from it or pretend it isn't happening.