If you are facing foreclosure on your home, you are not alone! Millions of home owners will lose their homes in the next few years.

Mortgage payments will skyrocket as $1 Trillion dollars of adjustable rate mortgages adjust. Their payments are based on indexes such as the prime rate that will be 3 or 4 times higher than they were when the loans were taken out. In spite of the adjustment caps that most of these loans have, these homeowners will see their payments jump 20-40%.

Once these new payments hit, budgets will be stretched, banjo-string tight. The reason most people took adjustable rate loans was because they could not afford the payments they will now be forced to make.

On top of that, the housing market is already slowing. In many parts of the country, unsold housing inventory is doubling, homes remain unsold for 60 days or more and stocks of home builders are down by 1/3 or more. Prices are falling, even in New York and California.

All this means that these cash-strapped people will no longer be able to refinance to a lower payment. Also, George Bush's new bankruptcy law will prevent them from wiping out their credit card debt to free up cash to pay their mortgage.

Therefore, the slightest interruption of their incomes will put most of these people into a downward spiral which will toss them and their families into the street.

If you or someone you know is potentially in this situation, listen up!

There is help available, if you act at the first sign of trouble. One of the best sources of help, is your lender!

They do not want your home. Industry statistics show that it costs lenders between $30-$50,000 to foreclose and dispose of a house. Banks also get demerits from banking regulators for having non-performing assets (your delinquent mortgage) on their books.

In fact, banks have staffers whose job it is to help you avoid foreclosure. This may not be obvious to you as you attempt to locate them and negotiate a resolution of your problem.

That is mainly due to the fact that you may be dealing with the wrong bank! Just because you send your payments to your bank, does not mean that they own your mortgage. They may be the "servicing" bank, merely collecting payments on your mortgage, which was probably sold the day after your closing. It may have been sold many times thereafter, perhaps ending up in a bundle of mortgages sold to Wall Street or even China!

These entities have their own requirements and procedures for working with delinquent borrowers. Your best bet to Save Your Home is to work with a knowledgeable professional who will know which lender to deal with and how to present your case in the best light.

Your lawyer is a good place to start, but act quickly. The earlier you take action, the more options will be available to you.

Copyright 2005 Bill Young. Bill is a former bank mortgage officer, a personal financial consultant vice president of the Foreclosure Negotiators of America. His website is: http://CantPayYourMortgage.Com