In today’s economy REALTORsI believe should not only sell homes for buyers or sellers but I believe that it is also our job to educate the general public to what other options they have when they are facing financial hardship. There are more times then not that a homeowner thinks that selling their home or allowing it to foreclose are their only options to get out from under the pressures of today’s economy and their struggles to make their mortgage payments.

In this post I want to encourage you that THERE ARE OTHER OPTIONS. I realize that when your mortgage payments, and  expenses increase, or income decreases you feel as though you would like to put your head under the pillow and never come out, but you can’t do that to your self!!

The government is committed to helping all of us get out of this recession, and I want to make sure you know what options are out there.  Recently Obama put together the “Making Home Affordable” Plan. It is a plan to help people who are struggling with their mortgage payments.

The key factor to remember is that you don’t have to be behind in you mortgage in order to qualify for one of the options.

 

The question is…
ARE YOU ELIGIBLE ?

You can quickly find out by going to the Making Housing Affordable government website. They have an online questionnaire that only takes a minute or two to complete and you get an instant response.

Visit the website at:http://makinghomeaffordable.gov/

There are actually two different programs that are under “Making Home Affordable”

• Refinance: If you are a homeowner who is current on your mortgage payments but unable to refinance to a lower interest rate because your home value has decreased, you may be able to refinance

 

• Loan Modification: If you can no longer afford to make your monthly loan payments, you may qualify for a loan modification to make your monthly mortgage payment more affordable. Millions of borrowers who are current, but having difficulty making their payments and borrowers who have already missed one or more payments may be eligible.

If you are unsure if you could qualify click on the above links. They will take you straight to the page to fill out the quick questionnaire to determine if you eligible.

If you are eligible what you want to do next is contact you mortgage servicing company and notify them that you qualify for the “Making Home Affordable” plan and that you would like them to send you an application.

They will ask you several questions about your situation over the phone and then they will send you a packet. This packet is VERY important to fill out accurately and quickly. It will ask for copy’s of the most recent bank statements, tax returns, and pay stubs. You will have to write a Hardship letter explaining your situation and why you need the program. Finally you will want to attach your monthly budget that shows all of your expenses.

Once you have the packet filled out send it back in and call a few days later to confirm that they received it. The key to getting this program in place for you is FOLLOW UP with your mortgage company.

Once they receive your packet it will take about a month to review the packet. Then they will assign a negotiator to your file and contact you. If you are approved for the program they will notify you of your new mortgage payment and put you on a “TRIAL PLAN” this trial plan can be 3-6 months long. Once you have completed the trial period with success you will have your new payment made official.

If you have more questions feel free to contact me.