Facing Foreclosure? Take These Steps

With foreclosures on the rise in the U.S., an increasing number of homeowners are presented with one of the most grave financial predicaments they can face.

Foreclosures in July 2007 were up 93% from July 2006, according to RealtyTrac, fueled by the weak housing market and numerous subprime, adjustable-rate mortgages resetting to higher rates that homeowners can't afford.

The effects of the credit crisis that has seized U.S. financial markets in recent weeks are not the only culprits. Homeowners who lose their jobs or are saddled with unexpected medical bills face sharp losses in their incomes, rendering them unable to keep up with mortgage payments. ...