Exploring Foreclosure Prevention Help For Lower Mortgage Payments–Are Homeowners Accessing Counseling Resources?

There has been some concern on the part of officials who feel that homeowners may not be taking advantage of assistance options like housing counseling as a way to help them prevent foreclosure. Various resources have been made available to homeowners over the past months and since the inception of the Making Home Affordable Program, as housing counseling aid and certain events hosted by the Treasury Department and other organizations have attempted to make information available and guidance more accessible to homeowners seeking out a modification or some other foreclosure prevention option that may be beneficial for their predicament.

Recently, the July report from the Making Home Affordable Program stated that there have been over 1 million homeowners who have received a free housing counseling assistance and, in the month of July, there were 29,405 homeowners who benefited from this aid from the HOPE Hotline. Yet, there have also been some indications that the number of homeowners who are taking advantage of the services or attending national programs that are hoped to offer homeowners guide may vary from one event to the next and it has become a concern for some that either homeowners may be unaware of these options or simply not using them to their advantage.

Since there are many problems that homeowners face in relation to factors like paperwork it stands to reason that housing counseling may be able to better guide homeowners through the modification process or simply offer advice when it comes to dealing with a mortgage servicer, as some homeowners have found the process quite frustrating when repeated requests for documentation are made by a servicer, a homeowner is denied assistance because they do not meet certain qualifications which may result from improper application practices, and there are also homeowners who are simply unaware of programs that are available outside of a HAMP modification.

While it should be remembered that homeowners do not have any guarantees when it comes to foreclosure prevention assistance, homeowners who take advantage of free housing counseling or may be able to attend an event in their area and talk face-to-face with representatives from their servicer might have a better chance when it comes to successfully completing a home loan modification program or getting information on supplementary plans, like those that may be available from HAMP or state housing agencies, so that they can find affordability on their mortgage payment or foreclosure prevention options.