Many homeowners have struggled to make their home loan payment over the past few months and, as a result, are turning to the home loan modification program for assistance. However, some homeowners have obtained a modification but have still been unable to afford their monthly mortgage payment due to the fact that they have a second mortgage on their home loan.
This can be troubling as the home loan modification process is quite taxing and difficult, so when a homeowner is told that they will be given a permanent home loan modification or a trial modification opportunity and they are still unable to pay their mortgage payment, it’s obviously a distressing time. However, the Making Home Affordable’s Second Lien Program has been set in place to help homeowners who are struggling in this situation.
According to the Making Home Affordable website, under this Second Modification Program a homeowner who receives a modification on their first lien may be provided assistance as the servicer of their second lien must offer to modify or cut some of the costs on their second mortgage. Some of the top mortgage servicers in our nation, like Citigroup, Bank of America, Wells Fargo, and Chase are using the second modification program to aid struggling homeowners.
While there have been struggles for homeowners who have been participating in the Making Home Affordable Program, there are options like the Second Lien Modification Program that are available from various lenders to aid struggling homeowners who can no longer afford their mortgage and may have a second lien on their home loan. Again, many lenders have been heavily criticized for the lack of assistance they have provided homeowners over the past months and were even summoned to a congressional hearing concerning foreclosure prevention efforts.
Obviously, at this hearing, each mortgage lender talked at length about their efforts to help homeowners but also cited various troubles that they had when concerning paperwork or simply dealing with the vast amount of homeowners who are in need. Yet, individuals who are struggling to make the mortgage payment are often advised to contact their mortgage lender first, seeing as how their mortgage lender will be in the best position to aid them with their home loan troubles primarily. However, homeowners may also consult other sources that can help homeowners in the modification process like the Making Home Affordable website.