J.P. Morgan Chase homeowners may have options for additional programs through the Making Home Affordable initiative that go beyond traditional modifications as additional assistance plans may offer homeowners in specific situations the chance to prevent the loss of their home. Common extension plans are offered through various servicers, like Chase, and have been available to help homeowners through unemployment forbearance plans and even offer underwater refinancing opportunities.
Yet, Chase is one of the many servicers who participates in the Second Lien Modification Program, the FHA First Lien and Second Lien modification program, as well as the Rural Housing Service modification plan. Homeowners may take advantage of these various foreclosure prevention options as more individuals are in need of housing assistance thanks to extended unemployment and other economic factors.
The worries that foreclosures may continue to rise in 2011 have many wondering whether these foreclosure prevention efforts will be enough to stop the widespread loss of homes, as there are those who feel the modification program has not been properly implemented and should be repealed. However, Chase and other financial institutions do still participate in not only the federal modification plan and extension programs, but also proprietary home loan modifications.
Homeowners who are facing difficulty may be able to either speak with their servicer directly or contact a reputable housing counselor approved by HUD or HAMP, but there are also options through proprietary modification plans if homeowners are unable to find federal mortgage assistance. These in-house modification plans have reportedly outnumbered federal initiatives over the past month, and if foreclosures do become more problematic, homeowners will need additional options if one route to foreclosure prevention may be closed in their situation.
While there are concerns over the implementation of the federal modification program by various servicers, there have been imperfections and faults that have been revealed along the way. However, homeowners are still in need of these assistance plans and do still seek aid from their servicer in the hopes of finding a lower monthly mortgage payment to offer more affordability on their home loan. Yet, not all homeowners may qualify for these assistance programs so alternatives to foreclosure like short sales or deed in lieu of foreclosure plans may be available so that a homeowner’s credit score will not take a major hit thanks to a formal foreclosure.
Economic hardships are still being faced by many homeowners and there has been a call for officials to address issues in the modification program which may have prevented the maximum number of homeowners from being helped over the past months. While there are still problems, federal and in-house modification programs do continue to offer foreclosure prevention options for those who are in need, but advisers often suggest that homeowners address financial difficulties and assistance needs early before their situation becomes too difficult to repair.