Home Foreclosure Help: The Government Wants Foreclosures to Stop!
Here we are in this present economic recession and the current foreclosure crisis is showing no signs of abating. People are still facing the fact that the homes that they purchased several years ago are now worth less than what they owe on those homes. Many people have had substantial income cuts, while others have completely lost their jobs. This, of course, is greatly affecting their ability to pay back their mortgage loans. Every day people from all walks of life are looking for home foreclosure help!
The first option that will help you to solve this foreclosure problem is through The National Housing Alliance. This body is developed by the famous Fannie Mae who is well known in helping those who are in need of help when facing with foreclosure. This body provides a publication that exposes your rights so that you can fully utilize them to stop foreclosure action on you.
The banks and lenders can rewrite the current mortgage. By rewriting the mortgage, they can adjust the interest rate and mortgage payments based on their current situation, which will make it easier to afford making the payments. The banks and lenders can alter the ARM into a fixed rate. By giving homeowners a fixed rate, homeowners will not have to worry about increasing mortgage payments down the road.
One of the main problems responsible for the millions of foreclosures was due to homeowners not being able to pay their rising mortgages. They may have started out paying $1000 a month, but are now required to pay $1700. That is almost double the original mortgage payment, even if it happened over a span of years, many families simply cannot afford it.
The last option the banks and lenders can offer is extending the term of the mortgage. By doing this, the monthly mortgage payments will be significantly lower making it more affordable for homeowners to keep their homes. This is the most effective home foreclosure help available to those who are facing foreclosure. As a warning, there is a certain process that needs to be followed correctly and an extensive amount of paper work that needs to be filed. If you are intimidated by paperwork and legal procedures, you can still get home foreclosure help.
The objective, then, is to see if you meet the qualifications for one of these programs. Fortunately, most people are going to be eligible. If this is an owner occupied home, not an investment property, and your income has declined significantly, you just may meet the qualifications for a loan modification. With a loan modification you may be able to lower your interest rate and substantially lower your monthly payment.