Homeowners And Foreclosure–Assistance Plans May Offer Transition Aid After The Loss Of A Home

Homeowners are still having foreclosure difficulties as a result of slow economic and job market recovery. Decreases in foreclosures for October may seem to be a positive note for the housing market, but this drop in the number of foreclosures has been attributed to the foreclosure suspensions and moratoriums which were implemented by some of the nation’s top financial institutions.

For this reason, homeowners may have been able to avoid the loss of their home at the present time, but with these banks resuming foreclosure proceedings in many cases, more homeowners stand to lose their home in the coming months. While there have been foreclosure prevention programs which have been set in place, there are problems with homeowners who still re-default despite having these assistants plans in place.

However, a small bit of good news has come in the form of assistance plans which may help homeowners who have lost their home transition to alternative living arrangements. Numerous homeowners who have lost their homes through foreclosure proceedings often turn to renting as a way to simply get back on a stable ground and begin repairing their finances, but many have trouble even doing this.

Homeowners who have seen their credit score drop as a result of foreclosure may have to pay a high amount in security deposits when they relocate to a new apartment or home. Again, apartments have been a popular choice for homeowners as they can be affordable, but individuals who have recently faced foreclosure or who are having financial trouble may not be able to meet all the costs associated with moving.

While homeowners who may be able to take advantage of the Foreclosure Alternatives Program might qualify for relocation assistance, certain state housing agencies have implemented programs which provide funding for homeowners who are relocating. An example of these programs comes from the Keep Your Home Program in California, which has a program called the Transition Assistance Program to help homeowners who are losing their home.

Obviously, homeowners who may see foreclosure as inevitable have begun seeking out renting opportunities before their credit score takes a hit, but these relocation assistance offers may also be of help to those who qualify. Homeowners will need to either talk with their servicer about foreclosure alternative plans or their state’s housing agency to see if transition assistance for relocation costs is available.