The economic crisis hasn’t been favorable towards homeowners as the value of properties keeps going down. However, that’s not much to your lender’s concern. They’re main concern with having their money back, and when homeowners stop paying, they initiate foreclosure. Many other reasons can lead to homeowners defaulting on their payment, such as medical emergencies, job loss, etc.

Foreclosure is an added burden to homeowners going through financial difficulties. It can significantly damage your credit score and make it difficult to secure another mortgage loan in years. To stop foreclosure, first, you need to understand how the foreclosure is processed in San Diego. State laws governing foreclosure differ from state to state. Knowing how it’s done in your state increases your chances of stopping foreclosure. After you’ve gotten adequate information, you will learn how much time you have to act and which method will not work.

The foreclosure process in San Diego is usually swift. You might not have a lot of time to try out multiple options. If you have tried out some options already and your home is about to be sold, you should consider filing for bankruptcy. Talk to your lawyer or hire one (if you do not have) and discuss in depth about your financial situations and which chapter of bankruptcy you should file. Filing for bankruptcy is not a process you want to go through without a lawyer. The reason being that it’s a legal process, and to prevent going against yourself, have a lawyer do it for you.

Chapter 13 bankruptcy is considered the best for homeowners facing foreclosure not just because it’s popular but also for the many benefits. With chapter 13 bankruptcy, you will have a more extended period of relief than most others. Usually, the relief period can last up to five years. And this gives you the chance to not only get on track with your mortgage but also pay it off with ease over the lengthened period.