temporarily to avoid losing the house. • Refinance. In case you have enough equity in your home and your credit is in good standing, it might be possible for you to refinance an affordable loan to avoid foreclosure and achieve lower payments. With current economic conditions and the housing values, it’s prudent enough to critically analyze whether this option can “bail you out.” • Work out a loan modification. If you're able to pay your property taxes but struggle with your mortgage payments, you might negotiate a loan modification with your lender. This agreement can adjust the terms of your mortgage to make payments more manageable over time. Options can include extending the loan term, reducing the interest rate, or even deferring some of the principal balance. • Sign up a forbearance agreement. A forbearance agreement is an understanding in which you can pay part of the regular payment or nothing at all, if need be, for a specified duration, depending on the condition of your financial accounts. When the forbearance period is up, you begin clearing the regular payments, plus an extra amount to settle up the past-due amount. • Resort to bankruptcy. If you live in a state where bankruptcy stalls the foreclosure on your property, you can take advantage of the situation to make good use of the six-month window given to you by the bankruptcy policy. For one, you get to live in your home with an avenue to pay the property tax outstanding balance under different terms.
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