Most people think that banks are happy with foreclosing homes and the current state of the property market .  In reality , they would rather have your regular cash payment than to undergo the meticulous and laborious process of foreclosing your house. So if you are facing foreclosure, the best initial move you can take is to contact your bank and establish an agreement that would be beneficial for both parties. Banks are in the business of lending money , not foreclosing on your home.

Banks and mortgage lenders have numerous financial assistance programs that are designed to limit the possibility of foreclosing a real estate property. Considering that you have been religiously paying your dues on time, there is no reason for your bank not to allow you to use their financial assistance programs and back-up plans that will save your mortgage payments from later default.

An arrangement could be made to help you keep up with your bills without having to sacrifice your house to foreclosure. However, this can only happen if you have an open connection with your lender and if you demonstrate enough interest in saving your house. Thus, on the first sign of problem be sure to inform your lender right away and anticipate that changes should be made on your payment terms.

Get into the details  and make it a point that your bank or mortgage lender knows the specifics as to why you weren't able to keep up with your mortgage payments. Reasons like severe sickness in the family, job loss or death in the family are excusable and could be considered as justifiable reasons. Also, some lenders have programs that are aimed at these specific problems.

There are other alternative options that you could use if you want to avoid foreclosure including forbearance, mortgage modification, mortgage or loan refinancing and reinstatement. All these require major modifications on the mode, terms and conditions of your mortgage payments.