Various homeowner assistance plans for struggling homeowners have been implemented over the past months, but recent programs which have specifically been tailored to help various states are hoped to not only bring more affordability to home loans that homeowners are finding to be problematic, but also prevent unemployed homeowners from facing foreclosure. Obviously, countless homeowners have lost their job over the past years and, as a result, have faced the loss of their home and various other personal financial problems, but there have been home loan assistance plans which have kept some in their home despite these individuals still seeking an affordable source of income.
Two of the more recent state-specific mortgage assistance plans for unemployed homeowners center around the Hardest Hit Fund and the Emergency Homeowner Loan Program. These two initiatives are being offered to certain states and, in 2011, are hoped to bring more affordability and foreclosure prevention options through various programs which are set to address issues like unemployment, negative equity, and homeowners who are delinquent on their home loan.
Specifically for unemployed homeowners, these plans may offer loans, which are similar to grants according to many, that will meet a homeowners mortgage payment requirements for a set period of time and come at zero interest. These zero interest loans may be forgiven if a homeowner remains in their home for a set period of time or meets other criteria, which would allow homeowners to have their mortgage payment made through one of these loans and, in the end, could excuse a homeowner from having to repay this debt.
There have been arguments that these plans may either simply be delaying the inevitable foreclosure or have only been implemented as a way to help banks, rather than homeowners, but there are those who are without a job who will reap benefits from state-specific plans in some cases as economic improvement, specifically in the area of jobs, is still slow in causing hardships for many.
Understandably, these programs are not perfect and do have their opponents, yet it’s hoped that state housing agencies in areas where homeowners are particularly hard hit by unemployment and negative equity will be able to provide solutions so that these individuals can gain a more stable financial ground from which they can resume meeting their monthly mortgage obligation.
While there are still federal home loan modification plans and proprietary modification assistance programs available for more affordability, as well as, the Unemployment Program which may offer mortgage payment forbearance to homeowners who have lost their jobs, it’s believed that these state-specific mortgage assistance plans for unemployed homeowners can bring foreclosure prevention and affordability in 2011 to more homeowners in the hopes of keeping these individuals in their home as the economy and job market improves.