Sternberg Law Group


What To Do If You Cannot Pay Your Mortgage


What To Do If You Cannot Pay Your Mortgage

These are particularly challenging times; though many see the vaccine rollout as the light at the end of the tunnel, unemployment is still nearly double what it was pre-pandemic, health care costs are mounting, and financial uncertainty ways heavy on many Americans. If you find yourself unable to make your mortgage payments, there are options. There are however consequences to missing mortgage payments, so it’s therefore important that you understand all your options and their consequences fully.

Missing a Mortgage Payment

When bills add up, it may be tempting to skip a mortgage payment. Many lenders offer a short grace period before late fees start adding up. For many lenders, that period ranges from 15-30 days. However, missing payments can have unintended consequences. Missing payments can have a big effect on your credit score, and more drastically, it can put your homeownership in jeopardy.

When to Act

The sooner you act, the better. In fact, the best time to look into your options is before you’ve actually missed a mortgage payment when you are concerned about your ability to make a future payment. However, at Sternberg Law Group, we know this isn’t always possible. If you’re facing a short-term financial hardship and need temporary assistance with your mortgage, contact us now to find out what your options are.


Mortgage Forbearance

Mortgage assistance options like forbearance and loan modification can sometimes help you avoid foreclosure even if you can’t afford your usual monthly mortgage payment. Mortgage forbearance can suspend or reduce your mortgage payments for a set period of time. Forbearance is often combined with a reinstatement or a repayment plan to pay off the missed or reduced mortgage payments when your financial situation has stabilized. At Sternberg Law Group we have helped thousands of homeowners get back on track with this option.

Reinstatement Plans

If you are several months behind on your mortgage payments and have defaulted on your mortgage loan, there may be an option for you to reinstate your loan and avoid foreclosure. Reinstating a loan stops a foreclosure because the borrower is allowed to catch up on payments in default, as well as fees and expenses incurred as a result of the default. It’s a good idea to reinstate it as soon as possible. It’s risky to wait until the last minute to reinstate.


The ultimate goal is to avoid foreclosure. A foreclosure is when the lender takes possession of the home and removes you from the property. The foreclosure process will typically begin when you’re 120 days or more past due. The goal is for the lender to sell the property, using the proceeds to pay off your remaining mortgage balance. However, you could still be required to pay the difference if the proceeds from the sale don’t cover the full loan balance.

At Sternberg Law Group we have helped hundreds of people avoid foreclosure. We offer a judgment-free environment where you can work with our experts to select and execute the best option for your unique financial and housing circumstances. We pride ourselves in tailoring legal strategies to reduce stress and help homeowners make the right decisions. We are experienced with a variety of home retention options, in addition to strategic foreclosure options, so that we can find the option that works best for you. Call us today to request a free consultation with one of our expert attorneys.Contact one of our offices here.