For those in financial hardship, paying your mortgage can be a stressful process. It’s important to educate yourself about your mortgage in order to alleviate some of this mental burden. If you are making delinquent payments, there are options available like loan modification or refinancing. To avoid disclosure, you may think of selling your home, going through the forbearance process, or even declaring bankruptcy. Finally, it’s always important to be upfront with your lender so you can form a positive relationship and work on these issues together.
Key Takeaways:
- If you have a ybrid ARM or an ARM mortgage where the payments increase over time, try to refinance to a fixed-rate mortgage if you think making the payments will be hard.
- Under certain circumstances the Making Home Affordable Modification Program (HAMP) makes it possible to get a loan modification.
- Contact your loan servicer to try to prevent house foreclosure. If you can’t make it work then consider selling your home to avoid this process.
“If you are having trouble making your payments, contact your loan servicer to discuss your options as early as you can. The longer you wait to call, the fewer options you will have.”
Read more: https://www.consumer.ftc.gov/articles/0187-when-paying-mortgage-struggle