In the past couple of years, many Ohio homeowners have encountered economic challenges which have led them to fall behind on their mortgage payments. If you feel identified, it’s likely you’re wondering how you can get help during this difficult time. Luckily, there are a number of mortgage relief options available to you.
This post will provide you with all the information you need about these Ohio programs. We will also provide you with contacts for organizations that can assist you in applying for assistance. The most important thing to keep in mind is that there is hope! Read on to learn more.
The best way to achieve mortgage relief is to discuss your financial situation with your lender. Lenders are often willing to work with homeowners who have difficulty making their monthly payments. A HUD-approved housing counselor can offer helpful guidance if you are unsure of what to say to your lender.
Types of Mortgage Relief Available
In Ohio, there are many options available for mortgage relief. Many programs allow lower mortgage payments to be made, interest rates to be lowered, and loan terms to be modified.
- Mortgage Modification: If you have problems making your mortgage payments, you may qualify for a loan modification. When you modify your mortgage, your lender will negotiate a new payment plan that is suited to your current financial situation. Some cases may even allow for a lower interest rate to be negotiated.
- Forbearance: A forbearance program may be available to you in case of temporary financial difficulty. Regaining your financial stability may be possible through reduced or no payments for a period of time.
- Principal Reduction: If your home is worth less than your current mortgage balance, you may be able to lower your principal. As a result, your loan balance would be reduced to reflect the market value of your home.
- Loan Refinancing: It may be possible to refinance at a lower interest rate in the event that you are having difficulty making your mortgage payments. You may be able to lower your monthly payments if you qualify.
- Short Sale: Short sales occur when a house is sold below its mortgage balance. After the sale, the sale proceeds are used to repay the debt.
- Deed in Lieu of Foreclosure: Deeding your home back to the lender in lieu of foreclosure is an option if you are unable to sell or modify your loan.
Mortgage Relief Programs in Ohio
Save The Dream Ohio
The Save The Dream Ohio Program assists income-eligible homeowners suffering from pandemic-related hardships to prevent mortgage delinquencies, defaults, displacements, and foreclosures.
How it Works
Ohio homeowners affected by the COVID-19 pandemic may qualify for funding up to $100,000 per household.
Only those who experienced financial hardship, loss of income, or increased expenses due to the pandemic after January 21, 2020, are eligible for the program.
You must also meet the following criteria:
- Be a homeowner with primary residence in Ohio
- Meet the program’s income eligibility requirements
How to Apply
Home Relief Program
The Home Relief Program provides homeowners with the options, resources, and counseling they need to make the best decision for their specific needs.
How It Works
If you submit an application or call, you will receive an evaluation from their partners outlining options that may protect your home or reduce your payments and rates in some instances.
If eligible you could:
- Save your Home
- Lower Your Monthly Payment
- Get an Interest Rate Reduction
- Extend Your Payment Terms
- Reduce Your Principal Balance
Foreclosure and Its Consequences
It is important for Ohio homeowners facing foreclosure to understand how the process works and the consequences it brings. Defaulting on your mortgage for over 120 days could lead to the loss of your home.
In order to maintain a good credit score, you should avoid foreclosures at all costs. Furthermore, foreclosures can have devastating effects on communities. Crime may increase if property values decline as criminals target vacant homes.
Avoid Foreclosure in Ohio with Favor Home Solutions’ Save My Credit Program
If you’re being threatened with foreclosure and you don’t know what else to do, we’re here for you! At Favor Home Solutions, our goal is to restore your peace of mind and protect your credit. With our ‘Save My Credit’ Program, we’ll take over your mortgage payments, so you don’t have to list your home for sale or worry about a foreclosure mark on your credit report.
You might even be able to pocket some money at the end: no fees, no gimmicks, and no obligations. Contact us today to get started!