PROPERTY OWNERS... Have You Fallen Behind on Your Mortgage Payments?
If you would like to stay in your home and have fallen behind on payments due to a short-term financial setback such as an unexpected expense or a temporary loss of income:
A Forbearance allows you to suspend payments for a specified time period. At the specified period, the missed payments are either repaid in full or added on as an extension to the term of the loan.
A Repayment Plan is similar to forbearance, although the past-due loan amount is spread out over a specified time frame, increasing the existing mortgage payment until the mortgage is brought back up to date.
If you would like to stay in your home and have fallen behind on payments due to a long-term financial setback such as a job loss or a sustained drop in income:
You may be eligible for a permanent loan modification, either through your lender or the Home Affordable Modification Program (HAMP) administered by the U.S. Treasury. A loan modification results from an agreement between you and your mortgage company, and results in a permanent change to the original terms of your mortgage in order to bring your monthly payment in line with your current budget. HAMP modifications ensure that monthly mortgage payments are no more than 31 percent of your monthly income before taxes.
If you are up to date on your payments but unable to refinance because the market value of your home is less than your mortgage:
The Home Affordable Refinance Program (HARP) was created to enable underwater borrowers with mortgages backed by Freddie Mac or Fannie Mae and are current on their mortgage payments to take advantage of historically low interest rates. The recently revised HARP 2.0 extends eligibility regardless of how big the difference is between how much you owe on your mortgage and the value of your home.
For confidential consultation and help navigating the option that best suits your situation contact me today.
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