It is possible to avoid foreclosure. However, it does require some planning. The first thing you need to do is notify your mortgage lender immediately when you feel that you might be in danger of foreclosure. Keeping your situation from your mortgage lender until nothing can be done is a sure-fire way to end up in foreclosure proceedings, with very little recourse. The key is to let your mortgage lender know ahead of time that you might hit a rough patch, and let your lender know what you plan to do to get through it.

Real Estate Pro Articles offers four alternatives to foreclosure that your mortgage lender might be willing to consider before exacting the ultimate penalty:

1. Refinance: This is the first option. You refinance the remainder of your home mortgage loan for 30 years. This extends your loan term, spreading what’s left of your mortgage loan out and lowering your payments to something affordable.

2. Loan modification: There are government programs designed to help qualified home owners get loan modifications. This changes the terms of the loan without going through the refinancing process. Whether principal is reduce, interest is reduced or the term is lengthened, the goal is to end up with an affordable payment.

3. Repayment plan: This is a separate plan, set up by the mortgage lender, to allow you to repay the amount you owe in back payments. The plan often comes without charges for extra interest (although you have to pay your regular interest.

4. Short sale: This is when you get permission from the mortgage lender to sell your home for less than what you owe on it. The difference is “forgiven”, and the lender gets as much as possible, without having to take over ownership of the home through foreclosure. You get to walk away without a foreclosure staining your record.

In the end, it depends on your financial situation and the local market. In some cases, there is little to be done other than foreclosure, due to an inability to pay even the modified amount.