Freddie Mac And Fannie Mae Mortgage Assistance
Conventional loan borrowers are eligible for up to 12 months of forbearance, which wont be reported to the credit bureaus. If you were already in an active forbearance as of Feb. 28, 2021, you may request an additional three months of forbearance .
If, at the end of the forbearance term, youre able to go back to your regular mortgage payments but are unable to pay anything additional, you may be eligible for COVID-19 Payment Deferral. With that deferral, the amount of the forbearance wont accrue interest and would not be due until the end of the mortgage whether thats when you sell, refinance or pay off the loan.
Even if you are ineligible for deferral, your lender cannot demand a lump-sum repayment and is required to work with you to find a different solution.
If you are unable to resume your regular mortgage payments at the end of your forbearance, you have options. The Federal Housing Finance Administration, which supervises Freddie Mac and Fannie Mae, is discouraging lenders from pursuing foreclosure. Instead, you may be evaluated for a loan modification, which changes the terms of your mortgage.
Contacting your lender directly is the first step you should take in order to obtain a forbearance or be considered for a loan modification. This is especially important because the GSE moratoriums on foreclosures and evictions have ended. You can also find more information on the Freddie Mac or Fannie Mae websites.
Dont Miss: Government Assistance Programs In Alabama
Get Advice About Your Options
If youre thinking about signing up to a mortgage rescue scheme, you should get advice from an experienced adviser. You can get advice from a Citizens Advice Bureau.
You might also want to think about getting independent financial advice. This will make sure you’ve thought carefully about how signing up to a mortgage rescue scheme will affect your financial and housing situation in the long term.
If youre struggling to pay your mortgage or are already behind on your payments, you can take steps to avoid losing your home, including talking to your lender.
New Hampshire Down Payment Assistance Programs
The New Hampshire Housing Finance Authoritys Home Flex Plus program can provide up to 3% in cash to assist with your down payment and closing costs. And its a grant, so you dont have to repay a cent.
The main hurdle for you to clear is that your income cant exceed $137,400.
Get more information from the authoritys website. And take a look at HUDs list of other homeownership assistance programs in New Hampshire.
You May Like: Can You File For Bankruptcy During A Divorce
Refinance To Lower Your Payments
Refinancing can offer homeowners relief by reducing their monthly payments. Most of the time, a refinance will lower your interest rate and extend your loan term both of which result in a more affordable monthly mortgage payment. Borrowers who cant lower their rate may still save money by spreading their remaining loan balance over a longer loan term.
Thanks to rising home values, even homeowners who made a very small down payment or refinanced recently could be eligible for a refi.
Even if you dont think youd qualify for a refinance, its worth talking to a lender. Many homeowners are eligible but dont know it yet.
Whats more, not everyone needs great credit or perfect finances to qualify for a refinance. Select programs, like the government-backed Streamline Refinance, can help borrowers refinance with little, no, or negative home equity.
Even if you dont think youd qualify for a refinance, its worth talking to a lender. Homeowners might be surprised at the amount of equity they gained as housing prices shot up nationwide. This could put refinancing within reach even if you had no home equity quite recently.
Grants Programs To Avoid Eviction
Homeowners are not the only ones eligible for government assistance. Rent assistance programs are also available for those who fall behind on their rent. It is usually reserved for people who owe a monthly payment or more, as long as the outstanding balance does not exceed 60% of the familys gross monthly income.
How can I avoid eviction with help programs? Again, Contact the HUD agency nearest you. A number of programs are offered there, such as Continuum of Care . There is also the possibility of receiving emergency cash Help for paying utility bills, a subsidy for paying the security deposit, and money for moving expenses.
Recommended Reading: Federal Government Jobs Las Vegas Nv
Read Also: How Long After Bankruptcy Does It Take To Rebuild Credit
Mortgage Help For Homeowners Impacted By The Coronavirus
There are hardship programs in place to help homeowners who have been directly or indirectly affected by the coronavirus and are struggling to make their mortgage payments. The Federal Housing Finance Agency , which oversees Fannie Mae and Freddie Mac, encourages homeowners adversely impacted by the coronavirus who are having difficulty paying their mortgages to reach out to their mortgage servicers as soon as possible. As the Consumer Financial Protection Bureau advises, you can find the number for your mortgage servicer on your monthly mortgage statement or coupon book.
FHFA has established a dedicated webpage with relevant updates and resources available here: www.fhfa.gov/coronavirus
Additionally, Fannie Mae and Freddie Mac have their own dedicated webpages for homeowners, with online tools for determining if your mortgage is owned by Fannie Mae or Freddie Mac:
Can A Mortgage Payment Grant Be Available For Senior Citizens
As senior citizens are the main part of the nation, because they work for the nation in various forms, and take care of their families. But now, they need help because they are not capable to earn money for fulfilling their basic needs. However, if senior citizens are bounded with mortgages and now dont able to pay for the payments, then they can look for the grants that are available for them. One can search with the use of the line How to get mortgage payment grants for seniors and get lots of results who provide the grants for senior citizens to pay for the mortgage payments.
You May Like: Is A Judgement Worse Than Bankruptcy
Other Ways To Get Help With Prescription Drug Costs
- Many pharmaceutical companies offer patient assistance programs to help seniors who canât otherwise afford their medications. Check with your pharmacist or doctor, or search online at RxAssist.
- The Medicine Assistance Tool matches people with medication assistance programs they may be eligible for.
- You can search for State Pharmaceutical Assistance Programs through the Medicare website. Eligibility requirements and coverage details vary, so check with your stateâs health department for details.
- Prescription discount cards are also available from non-profit organizations like NeedyMeds and the National Council on Aging.
What Is A Mortgage Relief Refinance
When most people think of government or Congress mortgage relief, theyre thinking of HARP the Home Affordable Refinance Program. HARP was a government program rolled out by the Federal Housing Finance Agency in 2009. For nine years, it helped millions of homeowners refinance after being hard hit by the housing crisis.
The HARP program ended in 2018. And similar programs, including Fannie Maes HIRO and Freddie Macs Enhanced Relief Refinance, were also discontinued.
The reason? Home values have been rising dramatically.
Property values shot up at a record rate in 2020 and 2021. As a result, homeowners nationwide saw their equity levels increase. And the number of underwater borrowers shrunk to just 2% of the market.
There are still programs available to help homeowners with little or no equity, including 97% LTV refinancing from Fannie and Freddie and Streamline Refinancing from FHA, VA, and USDA. However, fewer and fewer homeowners need these programs.
Today, the focus is on helping homeowners who were impacted by Covid-19 lower their mortgage payments.
Recommended Reading: How Many Times Can You File Bankruptcy In Florida
Aging And Disability Resource Center
Most of the time, disabled or elderly people feel a burden on them or they lost to look for ways that can help them to pay for their mortgage payments. When they are not able to pay for their mortgage payments they feel overburdened and did not understand which source will be helpful for them. Thus to give free advice to those individuals, many states have aging and disability resource centers. These centers provide the guidance and resources that can help them. Such as home repairs, disability and old age modifications, utility bills assistance, and mortgage assistance programs. They will tell you how you can get help for these and from these and lessen your burden. With the help of them, you can reduce the risk of foreclosure and also get help to use the sources that help you to pay for the mortgage payments. Thus you can visit your states aging and disability resource center and get help in the various ways to get rid of your burden.
Right To Buy/ Right To Acquire
Right to Buy is another popular government assisted mortgage programme. This scheme is aimed at council tenants in England, Wales and Northern Ireland who wish to buy the home they rent from their local authority, often at a substantial discount. Eligibility is as follows
- Tenants need to have been renting from the public sector for at least three years
- The three years can be non-consecutive
- Right to Buy does not apply in Scotland you can still buy your council house there, but the local authority is under no obligation to sell or offer a discount
- There are subtle differences to how the scheme works in Wales and Northern Ireland.
- It may be possible to get a Right to Buy mortgage with no deposit, as some lenders will allow you to use your RTB discount as your deposit
- There is a similar scheme called Right to Acquire that allows housing association tenants to buy their property, typically at a discount of between £9k and £16k.
For more information about the Right to Buy consult the schemes official website.
Read Also: Data Governance Security And Privacy
Don’t Miss: How Much Is It To File Bankruptcy In Nj
Streamline Refinancing For Fha Va And Usda Loans
Popular mortgage relief programs since 2009 have only been available to homeowners with conventional mortgages backed by Fannie Mae or Freddie Mac.
But what if your loan is government-backed?
Homeowners with federally-backed FHA, VA, and USDA mortgages have access to different mortgage programs than those with conventional loans. Namely, they can use a Streamline Refinance.
The Streamline Refinance is a special mortgage refi program for people with government-backed loans. Its similar to a mortgage relief refinance because you can use a Streamline Refi even if your home is underwater or has very little equity.
And a Streamline Refinance has other benefits, too.
- Theres less paperwork because you dont have to re-verify your income or employment or get the home appraised
- Government-backed loans typically have below-market mortgage interest rates
- Closing costs are typically cheaper
Homeowners can qualify for an FHA Streamline if theyve made at least three consecutive on-time payments on their existing FHA loan.
Even if you make your three consecutive payments while in forbearance, you may qualify for FHA Streamline refinancing. The Department of Housing and Urban Development , which oversees the Federal Housing Administration, is one of the more lenient housing agencies.
Pros And Cons Of Refinancing Second Mortgages
here are a number of pros and cons to consider when it comes to refinancing second mortgages.
Pros:
- Change your existing loan rate and term: If interest rates have dropped, you may want to consider refinancing to take advantage of new rates.
- Lower monthly payments: Lower interest rates may also mean lower monthly payments on your house.
- Allow you to switch to a fixed interest rate: This is good for those who are at a variable rate and would want a fixed rate due to rising interest rates.
- Consolidate debt: Refinancing your second mortgage will give you access to more funds, depending on your homes equity, that you can then use to consolidate high-interest debt, such as credit card debt or student loans.
Cons:
- Consider the extended life of the loan: If you refinance a second loan, you will usually be prolonging the life of the loan and, therefore, be making payments longer.
- Cost: Refinancing can be costly, as you will need to pay, at minimum, an appraisal fee, as well as closing costs.
Summary
Refinancing a second mortgage may be the right option for you if you are seeking a more favorable interest rate or lower monthly mortgage payments. Refinancing a second mortgage is similar to refinancing a first mortgage you will want to have a good credit score, employment history, and debt-to-income ratio to qualify for the best interest rates.
Talk to an expert before pursuing a refinancing of a second mortgage to ensure that it is the best choice for you.
Also Check: How To Get Copy Of Bankruptcy Papers
Is There A Mortgage Grant Available For College Students
There are lots of college students who are low-income or have no income. They need to pay for the mortgage payments but as they have no income or less income they are not able to pay for their mortgage payments. Thus to help them various sources are available so that they can get help with mortgage payments and did not have stress about it. With this, they can focus on their studies and get good employment. However, college students who have good academic grades will get the grant with ease.
S To Take Yourself To Help With Your Mortgage
There are several steps that homeowners can take on their own to deal with a delinquent mortgage payment or an impending foreclosure. People do not always need to rely on the government, solutions offered by their lender or a housing counselor. There are things you can do own your own. However, please always keep in mind that mortgage counselors can often help you, and they offer free or no cost mortgage advice.
It is critical to first and foremost understand your mortgage. Review the document, understand the key terms, and your rights and obligation. More on .
Learn what do do if you are behind on your mortgage payments. A series of steps can be taken by the homeowner. You need to act quickly, be pro-active, and follow u if you are .
Be sure to communicate. to ask them about assistance they offer, such as mortgage modifications, fee waivers, budgeting, and credit or foreclosure counseling. Many lenders are willing to work with borrowers to at minimum discuss some type of solution.
Consider Learn the pros and cons and the process, including the impact to your credit score and future housing needs.
Get any needed help from mortgage, housing, and credit counseling agencies. These professionals will work directly with your lenders or banks on your behalf. They can negotiate for you, process paperwork, or mediate a solution. Be sure to avoid the scam artists using .
The FHA also greatly encourages that you explore all loan workout solutions with your lender. Be sure to .
Don’t Miss: How To File Bankruptcy On Car Loan
Louisiana Down Payment Assistance Programs
Louisiana has one of the most generous down payment assistance programs. Qualified borrowers could get 20% of a homes purchase price up to $55,000 as a silent second mortgage.
This loan would be completely forgiven after 10 years if you stay in the home that long, and you could also add $5,000 to the loan for closing costs.
This program is operated by the Louisiana Housing Corporation, and youd need to meet income limits. You cant earn more than 80% of your areas median income.
And, only firsttime homebuyers can participate. Louisiana includes single parents who owned a home while married as firsttime buyers.
Only homes in the following parishes qualify: Acadia, Allen, Ascension, Avoyelles, Beauregard, Bienville, Bossier, Caddo, Calcasieu, Caldwell, Catahoula, Claiborne, De Soto, East Carroll, East Baton Rouge, East Feliciana, Evangeline, Franklin, Grant, Iberia, Iberville, Jackson, Jefferson Davis, Lafayette, LaSalle, Lincoln, Livingston, Madison, Morehouse, Natchitoches, Ouachita, Pointe Coupee, Rapides, Red River, Richland, Sabine, St. Helena, St. James, St. Landry, St. Martin, St. Tammany, Tangipahoa, Union, Vermilion, Vernon, Washington, Webster, West Baton Rouge, West Carroll, West Feliciana, and Winn.
For more information on this program, visit LHCs website. And look at HUDs list of alternative homeownership assistance programs in Louisiana.
Also Check: Loudoun County Public Schools Job Opportunities
Charity Foundations That Help Pay Bills
There are lots of organizations and charities that are always ready to help individuals and people who are low-income or face difficulties paying their bills. These charities work across the United States and make sure that every needy person will get help from them. Even these charities and non-profit organizations help people to pay for the things that are necessary for them. It may include rent, utility bills, like heat, water, electricity bills, HVAC Grants and others. They also offer referrals so that you can get help from other agencies. So you will continue to get assistance and did not face more problems in your life.
You May Like: How To Appeal A Bankruptcy Court Decision
Dallas Home Connection Home Buyers Club
This is a non-profit agency that provides mortgage payment assistance for its members. Dallas Home Connection works with non-profit lending institutions and homebuilders. They work to provide mortgage payment assistance to the recipients. The recipients can get up to $2,500 for their mortgage payments from this agency.
The Alliance For Stabilizing Our Communities
The Alliance for Stabilizing our Communities is the combination of various organizations and development communities. This was created with the efforts of the National Council La Raza, the National Urban League, and the National Coalition of Asian Pacific American Community Development. All these make the ASC and provide help to people who need help with housing and come out from the mortgage payment and foreclosure risk. They make sure that people who are tucking in the odd situation of mortgage payments and risk of foreclosure will get help and stay in their house without any stress.
The ASC is funded with a more than $3.4 million grant from the Bank of America and it focused on the families who are at-multicultural. Not only this, but they also organize housing fairs throughout the country in the high foreclosure areas. But borrowers can also get help from them by contacting them and telling them about their condition. The borrowers can contact the Alliance for Stabilizing our Communities at 1-866-842-3391 and also ask queries if they have.
Don’t Miss: Will Filing Bankruptcy Help My Credit
