Reviewed by Michael Kinsman, CPA, PhD, Professor of Finance and Accounting Pepperdine University
"Valuable Information and a good read"
I look at books on "saving your home in foreclosure" with a cynical eye. Most of them are very long on promises and war stories about how someone with unusual circumstances has saved his or her home (with the help of the author, who, of course, has always done a super-human job helping). Most are equally short on results and good advice that will help the typical person in foreclosure.
To my delight, despite the title laden with promise for everyone, the author provides 130 pages (in addition to valuable appendices) of excellent, practical, commonsense advice for one whose house is in foreclosure. I believe this book is a "must-read" for anyone caught in this situation.
What exactly does the book say? It provides information and advice on six main topics:
- Communicate. If you find yourself in financial difficulty, you will most likely hide that fact from everyone. That is exactly the wrong thing to do, the author says. Communicate with your family, your lender, and others involved in the situation. Petrovich also backs this advice with many examples of situations where lack of communication led to disaster, and communication led to successful resolution of problems.
- Budget. Before finding yourself in financial difficulty, you should begin budgeting so that your plan provides you the information you need to be successful. In foreclosure, that process is even more important.
- Record. When in foreclosure, keep a log of your actions, correspondence, and conversations. Petrovich has a "Mortgage Workout Notebook" with excellent tips on what records to keep and good advice on how to respond to collection agents.
- Don't deny. Face up to the problem. Early. Petrovich provides stories of success (and failure) from following (or not following) this advice.
- Legal defenses. If your lender has not "followed the rules," you may have legal defenses to foreclosure. Believe it or not, lenders often make mistakes on loans. While you will probably need an attorney to help enforce your rights in such a situation, Petrovich provides advice on what to look for in this arena.
- When all else fails, sell. Petrovich provides information on: selling your house before foreclosure; on "short sales" (paying less than the loan balance in satisfaction of your loan); and on deeds in lieu of foreclosure.
Even if you are not "in foreclosure," Petrovich's 45-page highly readable glossary of real estate terms makes this a worth-having book. If you are in foreclosure, it is a must-read.
Contact the author
Author's web site