Homeowners may be able to use extension plans from the Making Home Affordable Program to obtain a more affordable mortgage or deal with their current mortgage difficulties. Troubles with modifications and other problems like the loss in home values have caused homeowners to need aid that may go beyond a typical modification, but extension plans and other mortgage assistance options have been offered for these situations.
Second liens have caused trouble for some homeowners who have attempted to obtain a home loan modification and a cheaper mortgage payment. Programs like the second lien modification plan have worked with secondary mortgage holders to assist homeowners in obtaining a more affordable mortgage payment through a modification in cases where a second mortgage was in place and may have been causing difficulty for a homeowner.
While underwater mortgages have also been causing difficulties for many homeowners, short sale options and deed in lieu of foreclosure assistance plans have been created in order to deal with these difficulties. Homeowners who have seen the value of their home drop substantially and are having trouble making their mortgage payments may be able to short sell their home and alleviate the burden that comes from an underwater home loan payment obligation.
Yet, in cases where a homeowner cannot afford their underwater mortgage payment, a deed in lieu of foreclosure plan has helped many by allowing the homeowner to surrender the deed to their home without having to face the foreclosure process. It’s hoped that program such as this will allow homeowners who have tried to continue making their mortgage payments, but were unable to so due to the loss of their home’s value, to more easily repair their finances since they will not have to overcome the stain that foreclosure leaves on one’s credit history.
While various initiatives from the Making Home Affordable Program and directly from lenders have assisted many homeowners, there are still some who are facing foreclosure, bankruptcy, and becoming delinquent on their mortgage payments. Not all homeowners may benefit from these mortgage assistance options, but with various programs in place to help homeowners who are struggling find more affordable mortgage payment options, it’s hoped that there will be a greater number of individuals who can keep their home during these difficult financial times.