Unemployment continues to gnaw at the economy, housing market, and personal financial lives of many individuals across the nation. While there are endless homeowners who have had difficulties related to either the loss of their job or underemployment, there may be assistance from various sources which could help homeowners who are without the means to meet their mortgage obligation.
Homeowners may have heard that the Home Affordable Unemployment Program has been offered as a way to bring forbearance assistance options to homeowners who are struggling to make their monthly mortgage payment. Individual homeowners who do not qualify for a Making Home Affordable modification may have forbearance opportunities through their mortgage servicer as a way to prevent foreclosure.
Also, there are plans which are being offered through state housing agencies which may be beneficial to homeowners who are unemployed as well. President Obama enacted a program called the Hardest Hit Fund which provided financial assistance to various state housing agencies in the hopes of creating programs to aid numerous homeowners in specific states.
While these plans differ from state to state, many are offering some form of unemployment assistance to homeowners who may be unable to meet their monthly mortgage payment at the present time but could benefit from either forbearance or mortgage payment assistance until a job opportunity arises.
However, there are some individuals who feel these programs will be unhelpful and will only delay foreclosure that is inevitable. Yet, arguments that are being made for these forbearance or unemployment assistance programs often center around the idea that the overall housing market can be helped if homeowners are allowed to keep their home, as vast foreclosures could leave many homes sitting empty and cause more drops in home prices in certain areas.
These state-specific mortgage assistance programs may be offered through certain state housing agencies, but homeowners may also be able to work with their mortgage servicer to find unemployment assistance plans through either forbearance opportunities or home loan payment assistance while homeowners continue to seek an employment opportunity.