Avoid foreclosure with the help of home mortgage modification programs in Texas
If you're struggling to meet your monthly mortgage obligation, take a look at the home mortgage modification programs for Texas homeowners. These programs can help you stave off foreclosure and keep your home.
Most mortgage services offer home mortgage modification, but if you are behind on your payments, you may not qualify for a traditional modification. The U.S. Housing and Urban Development Department (HUD) in conjunction with the U.S. Treasury offer a program to you avoid foreclosure or exit your mortgage as a last resort. The program, which is called Making Home Affordable ( MHA ), has several different components that can help homeowners to keep their homes.
The Home Affordable Modification Program ( HAMP ) is a program for employed homeowners who don't qualify for a traditional loan modification, yet need their payments lowered to afford their home. You must have a financial hardship and sufficient income to make the lowered monthly payment.
There's also assistance available for homeowners who are paying on homes that are no longer worth more than the amount that they owe on them. This program, which is also under MHA, is called the Principal Reduction Alternative (PRA). PRA is a home mortgage modification program in Texas that encourages your mortgage lender to reduce the amount you owe on your home. This principal reduction will make your payments lower and make your home cost less overall.
If you qualify for HAMP and have a second lien on your home, you may also qualify for the Second Lien Modification Program ( 2MP ). This Texas home loan modification program allows you to modify the terms of your second mortgage, so you can be more effective in paying off your first mortgage. This can allow your entire financial picture to improve, allowing you to be a more successful homebuyer altogether.
When homeowners aren't eligible for any of these home mortgage modification programs in Texas, the government also offers the Affordable Foreclosure Alternative Program ( HAFA ) program. HAFA helps you to transition out of your home mortgage and avoid foreclosure. Either you sell your home on a short sale or transfer the deed back to the lender through a deed-in-lieu (DIL) of foreclosure. In both cases, the lender cannot hold you responsible for the remaining debt. Additionally, you may qualify for up to $10,000 in relocation money.
Home mortgage modification programs in Texas offer many ways to avoid foreclosure and preserve your credit. To talk with lenders about refinancing, go to RealtyNow.