Reports have come in stating that areas of Nevada are still seeing decreases in home values, which is obviously troubling news in light of the fact that Nevada has been one of the particular states that was hardest hit by the economic downturn and as homeowners struggle with equity problems, underwater mortgage assistance programs are continually sought out by homeowners who are seeing decreases in home value. While new opportunities which have been reported on the past few days resulting from the Home Affordable Refinance Program changes may give aid to some, homeowners are still being urged to remember programs that may have already been in place for quite some time like the Hardest Hit Fund that may provide solutions to a homeowner’s troubles.
Obviously, homeowners who may successfully complete a federal home loan modification program could be in line for consideration in the Principal Reduction Alternative Program that is part of HAMP, but there are also assistance options that may be available directly from the Hardest Hit Fund that also offer principal reductions to homeowners who are suffering from negative equity. Specifically for homeowners in Nevada, this particular program may offer assistance of up to $50,000 for those who qualify, and since continued decreases are being seen in many major cities, this could be beneficial for homeowners who are struggling with problems related to owing more on their home than it’s actually worth.
However, homeowners who are already in a position where negative equity is an issue are constantly being reminded that there are usually two predicaments in which a homeowner finds themselves and this will often dictate what assistance is available, as homeowners who can’t make their mortgage payments may be able to take certain routes in terms of finding aid, like refinancing and mortgage principal reduction plans, but homeowners who are having problems with their mortgage payment may have to turn to modifications or even a short sale.
It’s hoped that changes in the federal underwater refinancing program will be able to help more homeowners like those in Nevada who are seeing continued decreases, and state housing agencies are working in some capacities where similar HHF programs are in place to address negative equity, as there are some predictions that home values may decrease further in 2011 and 2012. While the severity of a homeowner’s situation will obviously differ from one state to another or in some areas it may be the case that these negative equity problems differ from one county to another, but homeowners in areas like Nevada where problems are still causing a great deal of stress are being urged to consider state and federal options that may be helpful when it comes to avoiding problems related to owing more on their home than it’s actually worth.