As the effects of continued high levels of unemployment remain in place and are weighing down many homeowners, the need for unemployment mortgage assistance is still a factor for individuals who are in a position where their employment situation may have changed, their home loan’s interest rate may have adjusted, or they are simply facing debt on a much lower income than they had previously. While it was reported that the April 2011 unemployment rate rose to around 9%, even if a reduction is reported in May, unemployment remains incredibly high and is more than just a number for homeowners who are currently struggling to find the opportunities they need that will allow them to acquire stability in their financial life, particularly surrounding their home loan.
It’s understandable that with many homeowners seeing negative equity issues arise and continued high levels of unemployment or underemployment, there are those who have given up hope when it comes to finding a solution for their particular problem, but it needs to be remembered that there are programs still in place, and some that are relatively new, that can be of assistance to homeowners who are still feeling the adverse effects of the unemployment problem in our nation. Homeowners have been reading about the Hardest Hit Fund over the past months, and initiatives like the Emergency Homeowner Loan Program are also benefiting some homeowners who simply cannot afford to make the mortgage payment, and are worth exploring in some cases.
While some homeowners are receiving forbearance options from their servicer, which can help for a few months, long-term solutions are mostly being seen through these state-specific initiatives and opportunities available to homeowners in the form of subsidies or loans that may help make the payment on their mortgage for a year or more. Homeowners who have continued to struggle on the meager income that is afforded to many from unemployment benefits are facing the likelihood that when this source of income is gone, they may enter into a more difficult situation in terms of meeting certain obligations like their mortgage.
Some homeowners have been fortunate enough to take advantage of hiring increases that have been reported in the private sector, but it is important for homeowners to remember that, when their home is on the line, consulting counselors with their bank or from their state’s housing agency to inquire about state-specific homeowner foreclosure prevention assistance or even programs that are an extension of the federal home modifications should be explored before their home loan situation becomes too dire. Understandably, foreclosures are certain to continue in many areas of the nation as a result of unemployment, but it’s hoped that if homeowners will address issues quickly and explore all of these options that could be available in their area, fewer men and women will have to face the situation of losing their home due to the fact that they have not been able to find employment in time.