Numerous housing difficulties have plagued homeowners over the past months and for servicers like Wells Fargo, various mortgage assistance programs implemented by the Making Home Affordable Program have been proposed in order to address homeowner troubles. While Wells Fargo and other mortgage servicers have in-house assistance plans available to help homeowners in certain cases, unemployment has been a major issue when it concerns the ability of a homeowner to make their mortgage payments.
However, homeowners with Wells Fargo, and other servicers within HAMP, may have options through the Unemployment Program, which may provide forbearance opportunities for homeowners who are without a job. Some positive reports from the job market have shown that some companies, mostly private organizations, have been adding more jobs and, despite the fact that the number of jobs created has yet to make a dent in the unemployment rate, there are some who have a positive outlook on the job front.
For this reason, some homeowners with Wells Fargo and other top servicers have been seeking assistance for their mortgage situation through these unemployment opportunities. Forbearance plans available through the Home Affordable Unemployment Program may allow a homeowner who qualifies to either reduce their monthly payment or suspend their mortgage obligations for three months. While this may be extended at a servicer’s discretion, financial institutions like Wells Fargo might be able to offer their homeowners this opportunity in the hopes of allowing the homeowner to keep their home while they continue to look for work.
Obviously, there have been critics of this program who state that even if a homeowner is able to forgo mortgage payments for a set period of time, there is a high likelihood that these unemployed individuals will still face foreclosure even if their mortgage payments are suspended for three months or more. While there are some homeowners who have continued to face foreclosure as a result of unemployment, Wells Fargo homeowners may have the opportunity to keep their home if an employment opportunity arises within the forbearance period or homeowners may have the opportunity to seek out foreclosure alternative options if a job is not found.
While this Unemployment Program is no guarantee to prevent the loss of one’s home, it’s hoped to provide homeowners the time they need to get back on their feet financially or at least come to a position where other foreclosure prevention measures may be available that would allow the to avoid the loss of their home.