Unemployed homeowners have been looking for ways to make their home loan payment more affordable as many are living off of a reduced income or must rely on the meager income they are provided from unemployment benefits. While some homeowners have been able to obtain a modification, there have been foreclosure prevention efforts and alternatives for homeowners who are unemployed and need mortgage assistance.
Foreclosure prevention plans for unemployed men and women are said to be only delaying the inevitable but plans like the Home Affordable Unemployment Program may be able to keep unemployed men and women in their homes longer or until they can find a new job. Under the Home Affordable Unemployment Program homeowners may be able to have a reduced mortgage payment granted or a forbearance plan may be offered as well.
Obviously, reducing or eliminating an unemployed homeowner’s monthly mortgage obligation, even for a short period of time, can be beneficial but there are cases where homeowners are simply unable to afford homeownership any longer. In situations such as this, homeowners may be able to take advantage of foreclosure alternative plans like the deed in lieu of foreclosure initiative that many mortgage servicers have been offering.
Homeowners who are unemployed but were previously able to make their monthly mortgage payment may be granted a deed in lieu of foreclosure option so that they can surrender their home without going through the foreclosure process. When an unemployed homeowner simply can no longer afford their mortgage payment, being able to avoid foreclosure can not only be beneficial at the present time but it may help a homeowner in the future when their financial stability returns and they can once again own a home.
Some deed in lieu of foreclosure plans have allowed homeowners to stay in their home for a few months after they have surrendered their deed and, again, for those who find an employment opportunity and can afford to do so, there is a higher likelihood that they will be able to begin the process of owning a home once again thanks to the foreclosure alternative options.