Are you having trouble making your mortgage payment as a South Carolina homeowner? If so, you’re not alone. There are several mortgage relief options available to you if you want to avoid foreclosure. In this blog post, we’ll cover some of the most common options so you can choose what’s right for you. Keep reading to learn more.
How to Get Started
Your lender should be contacted first in order to obtain mortgage relief. When borrowers are unable to pay their monthly payments, lenders will often assist them. A HUD-approved housing counselor will be able to inform you of how to approach your lender if you have any questions.
Mortgage Relief Options
There are many ways to obtain mortgage relief. Many programs exist to help you reduce your interest rate, modify your mortgage term, and help you repay your mortgage.
Mortgage Modification
Your mortgage loan terms may be modified if you are having trouble making payments. When you modify your mortgage, you and your lender come up with a repayment plan that suits your financial situation. There are cases where your lender may even be able to lower your interest rate.
Forbearance
Forbearance agreements may be obtainable during temporary financial hardships. To regain financial stability, you can reduce or stop payments for a set period of time.
Refinancing
If your payments are difficult to meet, you may be able to refinance your mortgage. You will be able to repay your loan more easily if you reduce your payments.
Short Sale
The term short sale refers to the sale of a house for less than the mortgage balance. This results in the sale proceeds being used to repay the debt.
Principal Reduction
In the event that your mortgage exceeds the value of your home, you may be eligible for principal reductions. This way, your loan balance is updated to reflect your home’s value.
Deed in Lieu of Foreclosure
In lieu of foreclosure, you can deed your home back to the lender if your home cannot be sold or a loan modification is not possible.
Mortgage Relief Programs in South Carolina
South Carolina Homeowner Rescue Program
The South Carolina Homeowner Rescue Program assists homeowners who are experiencing pandemic-related financial hardship before or after January 21, 2020.
How it Works
If eligible, you may receive support with the following:
- Delinquent Utilities
- Mortgage Payments
- Delinquent Property Taxes
- Mortgage Reinstatements
- Government/Nonprofit Down Payment Assistance Loans
Eligibility Requirements
You may be eligible if you meet the following criteria:
- You own and occupy as primary residence an eligible property in South Carolina.
- COVID-19 has caused you financial hardship after January 21, 2020. Although this hardship may have begun before 1/21/20, it continued after that date.
- You have a household income that is at least 150% of the area median income (AMI) or 100% of the American national median income (AMI), whichever is higher.
- You haven’t received the same assistance from another federal, nonprofit, state, local or tribal organization.
- You must be past due on any expenses for which you’re seeking assistance 30 days before applying.
Eligible properties include:
- Condominium units
- Manufactured/mobile homes
- Single-family homes (attached or detached)
- 1 to 4-unit properties where the applicant is living in one of the units as their primary residence
How to Apply
Click here for more information about this program and the documents needed to apply.
Foreclosure and Its Repercussions
To avoid foreclosure in South Carolina, homeowners should understand how it works and its consequences. A lender may foreclose on your home if you fall behind on your mortgage payments. It is also advisable to avoid foreclosure if possible since it will negatively affect your credit score.
Avoid Foreclosure in South Carolina with Favor Home Solutions’ Save My Credit Program
If you’re looking for the quickest and best way to avoid foreclosure in South Carolina, our team is here for you! At Favor Home Solutions, we’re passionate about helping you regain your peace of mind and protecting your credit! Our ‘Save My Credit’ Program takes over your mortgage payments, so you don’t have to list your home for sale or get a foreclosure 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!
