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Financial difficulties can effect anyone. Free counseling assistance is available to struggling homeowners regardless of income.
If you find that you are having trouble paying your mortgage or if you are in foreclosure, you need to call for help.
Call First Link at 211. This call will connect you to a local non-profit housing counseling agency that can determine what type of help is best for you.
Many people do not realize the important role that housing counselors play in the current mortgage crisis. Lenders would rather help you work through the issues that you have, with the help of a non-profit housing counseling agency.
What to do if you are struggling to pay your mortgage or are in foreclosure:
- Call 211 to be connected with a non-profit housing counseling agency.
- Contact your mortgage company’s Loss Mitigation Dept. early and often, not the collection department. They can help homeowners with workout options.
- The mortgage company doesn’t want your home, they want your house payment. They will work with you. It costs a lender on average $50,000 for each foreclosed home.
- Don’t move out right away if foreclosure is filed against you. It takes time for the process to take place and you should stay in the home to save as much money as possible to give to the lender for a workout option or to save up for a deposit for an apartment.
- Write a hardship letter.
- Respond to the court within 28 days of receiving court foreclosure papers or ask for mediation (if applicable).
- Write down a REALISTIC budget showing all of your expenses and sources of income. This is what the loss mitigation department and housing counselors will look at when making considerations for workout plans, loan modifications and mortgage assistance.
There are organizations that can help.
Many companies claim to help when they are actually taking advantage of people in need. Meet with a housing counselor at a HUD Approved Housing Counseling non-profit agency.
Local HUD Approved Housing Counseling Agencies:
- Columbus Housing Partnership
- Consumer Credit Counseling Agencies
- Mid Ohio Regional Planning Commission
- Homes on the Hill
- Urban League
Benefits of Working with a HUD Approved Housing Counseling Agency:
- They can help in the discussions with the loss mitigation dept. and add more credibility to your case. They can talk the talk.
- Give the homeowner an understanding of the resources and workout options available. In some cases one time Mortgage Assistance funds are available.
- Paint a realistic financial picture.
- Offer suggestions on how to improve the homeowners credit for the future following this current situation.
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