h1

Help for Homeowners Facing Foreclosure

July 7, 2010

There is help for Hammond homeowners facing foreclosure.Are you struggling to keep up with your mortgage payments?  Are you worried you might lose your Hammond home if you don’t get help soon?  Rest assured that there is help for homeowners facing foreclosure.  The government has set up HAFA, HAMP and HARP programs specifically for distressed homeowners.

The Home Affordable Foreclosure Alternatives Program (HAFA) is set up to give both lenders and homeowners financial incentives to sell a home under a short sale or deed-in-lieu of foreclosure rather than let it go to foreclosure.  Since a lender has to agree to forgive part of the loan amount under a short sale, they stand to lose money and may not allow a short sale to happen.  With the financial incentives from the HAFA program, they are more likely to allow it.  Also, currently, if a home is successfully sold under short sale or deed-in-lieu of foreclosure, a homeowner participating in the HAFA program will receive $3000.

The Home Affordable Modification Program (HAMP) is designed to help homeowners who wish to stay in their current home but are struggling to keep up with their mortgage payments primarily due to higher interest rates.  HAMP allows homeowners to try to modify their current loan at a lower interest rate, making the payments more affordable and allowing the homeowner to retain ownership of the home instead of losing it to foreclosure.

The Home Affordable Refinance Program (HARP) allows homeowners who are up to date on their current home loan the opportunity to refinance their home at a lower interest rate, even if the value of their home is less than what is owed.  But, if you are behind on your payments, you will not qualify.

Additionally, there are other options for homeowners who are facing foreclosure, including the Second Lien Modification Program (2MP) for help modifying a second mortgage (used in conjunction with HAMP), bringing cash to closing, mortgage loan workout and lender workout.  You should consult your real estate professional to guide you in finding help if you are a homeowner facing foreclosure.  They will have access to reliable resources and should be up to date on the most recent programs available.

Yvonne Martin, The Martin Team, Let My Family Bring Your Family Home to Hammond real estate

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: