Loss mitigation is a process where your lender works with you to find an alternative to foreclosure. In New Jersey, the courts actually require lenders to participate in mediation before completing a foreclosure, giving homeowners a real chance to find a solution. Common loss mitigation options include loan modification (changing the terms of your mortgage to make payments more affordable), forbearance (temporarily pausing or reducing payments), repayment plans (catching up on missed payments over time), short sale (selling the home for less than what's owed with the lender's approval), and deed in lieu of foreclosure (voluntarily transferring the property to the lender). Sargent Homes can help you explore all of these options. In many cases, selling to us is the best path — it pays off your mortgage in full, preserves your credit, and puts cash in your pocket. We handle all lender communications and can navigate even the most complex loss mitigation situations.