Do you need to figure out how to stop foreclosure and save your home? Are you behind on your mortgage payments and are you afraid you are going to lose your home? If this sounds like you, then you need to know that there is help. When you fall behind on your mortgage payments you might end up in foreclosure, especially with the way the housing market is today. Home foreclosures have skyrocketed just like the gas prices, the food prices, and everything else. It is time that you knew what your options are.
If you are facing home foreclosure what is there that you can do?
First, sit down and write out a detailed budget. You will want to get a small notebook so that you can track each and every penny you spend. This will give you a clear picture of where your money is going and how much you are spending on certain things. After you have done this for a month or so you will be able to look at your expense log and start making cut backs in the areas that you can afford to spend less. This could be something as simple as making your own coffee in the morning instead of spending $5 on a coffee at Starbucks.
Another way you could save is to buy the generic brand instead of the name brand when it comes to certain foods. Also you can hit up the clearance sales for your clothing and other necessities. Many of the people that end up in home foreclosures do so because they were never taught how to properly manage their money. They have no idea what they spend and what they are spending it on. If this is you, then the budget has to come first.
You might be thinking that making some small cut backs will not really have much of an effect on your life, but look at it this way. If you can find a way to save $2 a day, then you have just found $60 a month that you can use towards something else. That is $720 a year. That could be one mortgage payment right there. It is not hard to find a couple of dollars a day. Here are a few other cut backs you can make.
– Pack your lunch instead of eating out. You might find that this alone can save you $30 or so a week because eating out is very expensive
– If you drink alcohol, cut back a little, and buy what is on special
– Rent movies instead of purchasing them. Most people don’t watch the movies that they buy that often anyway so just rent them and you will not have to spend $10-$25 on each one of them.
– Cut back to basic cable instead of premium
– If you have a cell phone and a home phone, then you can get rid of your home phone already
– Cut down to one Television in the house, then you will not have to pay for cable for more than on set.
– Shop at Sam’s Club and buy things you use a lot of in bulk. This can save you a good chunk on groceries and toiletries.
– Ride a bike or walk to places that are close enough to do so. With the high gas prices you can save a bundle by not driving.
– Stop buying things on impulse.
– Go to the store with a plan and a list. It is proven that those people that have a shopping list are less likely to make impulse purchases and will usually only buy what is on their list.
These small things can save you quite a bit of money. You will find that there are some black holes in your budget that are sucking you dry. When I tracked my own expenses I found over $200 a month that I was basically wasting. This was money that I have now been able to save some of and pay off some debts I have. I will tell you from experience that it is much easier to stay stress free when you have a little bit of money in the bank for a rainy day.
Track your expenses for a month and see where your money is going. Then, cut back where you can and set up a budget. Make sure to include things like car registration, clothing, entertainment, and everything else you spend money on in your budget. Even if it is just a once a year expense it needs to be worked into your budget. You will be able to save more and spend less on things you don’t need once you have a clear picture of where your money is going.