Homeowners that are struggling in their mortgage payment due to unemployment may have a new route to take, in terms of mortgage assistance, from the Obama Administration in terms of an unemployment mortgage forbearance program. This new program, which is an extension of the home loan modification program, is hoped to help unemployed and underemployed homeowners with their home loan.
Unemployed homeowners that qualify for this program may be able to get forbearance from their mortgage payment for around 3 to 6 months. There are some, like underemployed homeowners, that have a job, but have seen a big cut in their wages who may be able to get their mortgage payment dropped to a much lower amount for the same period of time as well.
Also, during the forbearance period, if homeowners are unable to get back on their feet, or there is little positive outlook for an unemployed homeowner getting a job, the forbearance period may be a time where homeowners discuss selling their home with their lender.
Unemployment is still a big problem in our nation at the present time and with the job market slowly growing there are still millions that are looking for a job where too few are being offered. The unemployment forbearance program is hoped to give homeowners time to find a job or get out of their mortgage obligation without taking a big hit on their credit score.