A recent study released by a Federal Reserve Board discussion group revealed that most people who go through foreclosure are able to maintain a lifestyle similar to what they had prior to the foreclosure. Although foreclosure has meant that many people have gone from owning to renting a home, the majority of families have moved into another home within their community, children have been able to stay in the same school district and many have lessened commute times to work.
A foreclosure no longer means that you must move in with extended family or friends or otherwise drastically change your lifestyle. Sixty percent of those who’ve gone through foreclosure are now living in a single-family home and the number of people living in the homes has not changed. Essentially, life after foreclosure is the same or similar to life before, minus the mortgage payment on a home that probably was no longer worth the amount being paid on it.
Florida Foreclosures Leave Room for Optimism About the Future
Understanding the foreclosure process and speaking with a Tampa Bay foreclosure defense attorney about your options can give you and your family an opportunity to plan for the future. There are benefits to staying in your home while a foreclosure is pending, including having a roof over your head without making mortgage payments. The money that was used to pay the mortgage prior to the foreclosure process starting may allow you to build an emergency fund, save for a deposit on a rental home, save for a child’s education, make other ends meet or maintain your current standard of living.
With proper planning, the foreclosure process may give Florida homeowners two or more years to live in a home while no longer making mortgage payments. According to the Federal Reserve study, only half of those who had entered foreclosure had moved from their homes two years later.
While some foreclosures are never completed because the home is sold or a work out agreement is made with the lender, the legal process also takes a considerable amount of time. The average Florida home will take 676 days to complete the foreclosure legal process according to data released by RealtyTrac.
Everyone’s experience with the foreclosure process is different, but the key is that it is not as bad as many people may have once thought. There is life after foreclosure and for many, if they so choose, it does not have to be that different than before.