Avoiding Foreclosure with HAMP

Take a deep breath and calm down. Believe me I was frantic and distraught last year because I too was in danger of losing my home to foreclosure. I had all the nightmares associated with this crisis. My family would be out on the street. I’d have to teach my kids to beg. Ok, I’ll stop there, these were just dreams. However, the pressure I was feeling to save the situation was causing our family serious anxiety.

               

A Meager Living

We had cut all sorts of things out of our budget by the time we realized we’d not be able to continue making our mortgage payments. Birthdays for everyone that year involved hand made cards and baked goods. We just couldn't afford much of anything anymore. My wife had been sick for several years and had not been able to work, so we were relying on my meager income.

Help is Readily Available

Surprisingly the bank was very understanding after I had written a long letter of hardship describing our entire situation in great detail. They suggested we apply for HAMP to see if we were eligible. They said these mortgage loan modification services are great government programs designed to allow families with serious financial hardship to restructure their existing mortgages to make it easier to pay. It actually benefits all involved and here’s how.

• Mortgage lenders are encouraged to participate in this program. They often are rewarded thousands of dollars per year from the government if they negotiate a successful new contract.
• Lenders are also assured of having the entire loan paid off entirely. This saves them from the costs associated with reselling the foreclosed home at a much lower value.
• Homeowners can rework an existing loan to have lower interest and monthly payments as well as a lower overall principal. They avoid foreclosure and all the associated credit problems.

Program to Help You Avoid Foreclosure

This program is known as the Home Affordable Loan Modification Program. It is really only designed for people who have exhausted all possible options to pay an existing loan. The mortgage also has to have been created before 2009. However, if you are in danger of losing your home and can prove that your financial hardship will cause the bank to eventually foreclose on your home it is worth the time to see if you are eligible. The government recognizes that the housing crisis is not going away, and they have tried to set up a program that will keep people in their homes for a long time. Your lender will be eager to find a solution with you and will help you find home loan modification help if it’s possible. A foreclosure is bad for their business too.

To inquire further about hud loan modification assistance programs and see if you are eligible for any programs to stop a foreclosure contact Credit-yogi or call 1-866-964-9644 for a free consultation.