Many homeowners have struggled due to unemployment and have had difficulty making their monthly mortgage payment as result. However, there have been a variety of unemployment mortgage assistance plans that have been offered for homeowners who may need a more affordable home loan payment.
Homeowners have seen the loss of their wages or cutbacks at their places of employment, and as a result, meeting their monthly financial obligations have become more difficult. Since a home loan payment is one of the most costly expenses the majority of Americans have, the Obama administration and many financial institutions that service mortgages have been using certain programs that can help homeowners who are facing unemployment and need assistance avoiding foreclosure.
Home loan modifications have been one way in which homeowners have gotten a reduced mortgage payment and been able to keep their home. Modifications for those who qualify have provided a lower monthly mortgage payment and interest rates in some cases, which are obviously beneficial to homeowners who cannot meet the entirety of their home loan costs. Some modifications can simply lower a homeowner’s monthly mortgage payment or extend the terms of their home loan, which also brings a more affordable payment as well.
However, some homeowners have been unable to obtain a home loan modification but may be able to take advantage of a forbearance program offered to unemployed homeowners. The Home Affordable Unemployment Program can provide mortgage payment reductions but also offer forbearance options for homeowners who may be unable to pay their monthly mortgage payment at the present time. Typically, homeowners can receive three months forbearance on their mortgage payments, which may give many them time they need to obtain employment or find firmer financial ground.