Mortgage payments can sometimes become a significant burden, especially during difficult economic times. If you’re a homeowner in West Virginia who is struggling to make your mortgage payments, there are a few options that may be available to you. In this blog, we’ll go over some helpful government links to mortgage relief programs, how to apply for them, and the consequences of foreclosure.
Government Programs for Mortgage Relief
There are several government programs available to homeowners in West Virginia who are struggling to make their mortgage payments. The most popular programs are:
The Home Affordable Modification Program (HAMP)
This program is designed to help homeowners who are struggling to make their mortgage payments. HAMP allows eligible borrowers to lower their monthly mortgage payments by reducing their interest rate, extending the term of the loan, or reducing the principal balance.
To be eligible for HAMP, you must meet certain requirements, including:
- Your mortgage must have been originated before January 1, 2009.
- You must owe less than $729,750 on your primary residence.
- You must have a documented financial hardship.
- To apply for HAMP, you must contact your mortgage servicer and request a modification. You can also visit the Making Home Affordable website for more information.
The Home Affordable Refinance Program (HARP)
This program is designed to help homeowners who are current on their mortgage payments but owe more than their home is worth. HARP allows eligible borrowers to refinance their mortgage at a lower interest rate, even if they owe more than their home is worth.
To be eligible for HARP, you must meet certain requirements, including:
- Your mortgage must be owned or guaranteed by Fannie Mae or Freddie Mac.
- Your mortgage must have originated before May 31, 2009.
- You must be current on your mortgage payments.
- To apply for HARP, you must contact your mortgage servicer and request a refinance. You can also visit the Making Home Affordable website for more information.
Consequences of Foreclosure
If you’re unable to make your mortgage payments and your home goes into foreclosure, there are several consequences that you should be aware of. These include:
- Damage to your credit score: Foreclosure can have a significant impact on your credit score, making it difficult to obtain credit in the future.
- Eviction: Once your home goes into foreclosure, you will be evicted from the property.
- Deficiency judgment: If the proceeds from the sale of your home do not cover the amount you owe on your mortgage, you may be responsible for paying the difference.
It’s important to take action as soon as possible if you’re having trouble making your mortgage payments. Contact your mortgage servicer to discuss your options and see if you qualify for a mortgage relief program.
Helpful Government Links
Here are some helpful government links to mortgage relief programs in West Virginia:
- West Virginia Housing Development Fund: This program offers several options for mortgage assistance, including loan modification, payment assistance, and refinance.
- U.S. Department of Housing and Urban Development (HUD): HUD offers several resources for homeowners, including counseling and foreclosure prevention assistance.
- Making Home Affordable: This website offers information about the federal government’s mortgage relief programs, including HAMP and HARP.
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