What is Mortgage Relief and How You Can Apply for It
As a homeowner, you face a mountain of financial responsibilities, and it can feel overwhelming to stay on top of your debt and monthly payment obligations.
It’s important to remember, however, that there are always options for relief if you are going through a financial rough patch.
Types of mortgage relief
Among the numerous types of mortgage assistance for homeowners are temporary and long-term relief options. Contact a housing counselor or call us at Jacobs Legal to discuss your specific situation.
The U.S. Department of Housing and Urban Development (HUD) provides a list of approved counseling agencies that can offer you advice and guidance based on your individual objectives and circumstances.
The most common mortgage relief options include:
- Forbearance – This type of relief offers a temporary pause or reduction in monthly mortgage payments. Forbearance does not erase any missed payments, but it does allow you to develop a repayment plan that works for you. To learn what to expect when your forbearance period ends, read this post [https://jakelegal.com/what-to-do-next-when-forbearance-ends/].
- Loan modification – A mortgage modification enables you to change part of your existing loan, such as by modifying its terms or interest rate, in an effort to make monthly obligations more manageable.
How to apply for mortgage relief
No matter which mortgage relief option you choose, it’s helpful to discuss your situation with your lender or mortgage servicer as soon as you begin to experience financial difficulty. Federal mortgage relief programs due to COVID-19 hardships ended June 30, 2021, but there are always opportunities to negotiate directly with your bank.
For help navigating mortgage relief options and understanding your rights in the fight against foreclosure, please don’t hesitate to contact our foreclosure defense team at Jacobs Legal. You may also schedule a confidential consultation to discuss your situation and ask questions at any time.