With more and more homes going into foreclosure, many homeowners are getting increasingly anxious, and looking for ways to avoid foreclosure. There a range of government programs that can help you hold on to your home and avoid repossession. Such programs include government financial assistance to help with mortgage payments, and free advice from foreclosure counselors that can help you catch up with mortgages that are past due. Even if your situation becomes so difficult that you are unable to avoid foreclosure, some government programs will help you with foreclosure mitigation so that you can minimize your losses and adapt to your new financial circumstances. You need to explore ways to take advantage of these government programs so that you can keep your home or at least mitigate the financial and emotional pain that accompanies home foreclosure.

The first thing you need to do is to contact a counselor specializing in foreclosure avoidance. The HUD (Department of Housing and Urban Development) is a federal government department that is teaming up with counselors to mentor and advise people who are at risk of losing their homes to foreclosure. Such counselors can help you navigate the complex web of financial rules and government regulations that can be your path to stop a foreclosure. A counselor can help you figure out if you are eligible for cash programs from federal, state and local agencies that can help you catch up with overdue mortgage payments.

Unfortunately, you have to be on the alert for the many unscrupulous operators who are looking to prey on people in desperate financial circumstances. There are many such sham schemes in the foreclosure arena as well. These include fake refinancing schemes, false loan modification programs that are claimed to be government sponsored, transfer of title or bankruptcy, and other similar schemes. If programs sound too good to be true, they probably are. This is why is it important to go through the Department of Housing and Urban Development so that you know that your foreclose questions are being answered by a legitimate foreclosure counselor.

Your counselor will probably advise you to contact the bank that issues your mortgage, so that you can discuss your problems and hopefully negotiate a favorable arrangement for yourself. Do this as soon as possible. In the end, it is the bank that has the ability to modify your mortgage terms. The bank will probably provide you with a package to start the process of solving your mortgage problems.

In addition to the help provided by the foreclosure avoidance counselor and the bank, it is up to you to explore additional options, especially local avenues available within your community. These may take the form of local government grants, low-interest loans, and programs targeting demographic groups such as veterans, specific neighborhoods or minorities. Some people are resourceful enough (or desperate enough) to try more unusual tactics like going on local news channels on TV to talk about their plight and ask for help, and maybe shame the bank into giving them a better deal.

Whatever your personal circumstances, don't give up. Chances are that one or more of the above avenues may help you with avoiding foreclosure, or at least mitigating the worst effects of it. Good luck!