Digital New Report – It is a tough time for many people in the US because they have become unemployed and still have a mortgage payment to make each month. You can get temporary relief sometimes on the monthly mortgage payments with a forbearance agreement. According to the government website Hope Now, they suggest that a forbearance agreement or plan be established with your mortgage company as a way to keep your home longer. This option also may help save your home from foreclosure.
If you think you can’t make the payments you can request your mortgage provider for an forbearance. The homeowner has to seek this out because it is not an automatic procedure. If you ask the lender for this forbearance and they approve it, you can have your mortgage payments deferred for the agreed time period which are usually for three months, but could be less or more depending on each lender. The interest will still continue to accrue during the forbearance time period, but you can postpone the foreclosure process during this time period, giving you time to get yourself financially back on track.
The government has help for struggling homeowners and they suggest that you might want to talk with an approved HUD counselor about your mortgage and what other options might be available to you. The HUD counselors are free to talk to and you can find out more about this at hopenow.com.
Other options that are available for struggling homeowners including the government’s home loan modification program and also the government foreclosure alternative program. Unemployment benefits are counted as income and could possibly qualify you for the government mortgage loan modification called Home Affordable Mortgage Program (HAMP). If you are unable to keep your home, you can get government help with settling with your mortgage lender through these programs with a possible short sale and you might be able to avoid foreclosure proceedings.
By: Victoria Brown