Step 1: If you are in financial trouble, contact your lender as soon as possible. Do not wait for them to contact you. Often lenders will offer options to help those who are having problems making their mortgage payments.

Step 2: Keep good records.  If you send a letter, keep a copy of the letter and delivery confirmation from the mail service. If you speak with someone on the phone, write down the representative’s name, time and date of phone call and explicit details from your conversation.

Step 3: Explore your options and exhaust all resources.

• The U. S. Department of Housing and Urban Development (HUD) website provides basic information on ways to prevent a foreclosure.


• The California Department of Housing and Community Development (HCD) website is a great resource for first time homebuyers and existing homeowners. You can also find a list of HUD Certified Counseling Agencies who can help answer any of your questions regarding homeownership, foreclosure, and various programs that may help you.


• California is one of 18 states receiving Hardest Hit Funds due to having an unemployment rate higher than the national average. If you are unemployed or substantially underemployed and need help with mortgage payments, ask your HUD certified counselor about the Keep Your Home California program.
  
  

Please note: While some companies offer to assist homeowners for a fee, HUD certified housing counselors can assist homeowners for free.