There are a number of programs to assist homeowners who are at risk of and want to “Avoid foreclosure in in Dallas,” and otherwise struggling with their monthly mortgage payments. Please continue reading for a summary of resources available.
Please read FHA’s brochure, “Save Your Home: Tips to Avoid Foreclosure,” also published in Spanish, Chinese and Vietnamese.
Program to Make Your Home Affordable
The ‘Making Home Affordable © (MHA) Program’ is a broad strategy to help homeowners avoid foreclosure in Dallas, stabilize the country’s housing market, and improve the nation’s economy.
Homeowners can lower their monthly mortgage payments and get into more stable loans at today’s low rates. And for those homeowners for whom homeownership is no longer affordable or desirable, the program can provide a way out which avoids foreclosure. Additionally, in an effort to be responsive to the needs of today’s homeowners, there are also options for unemployed homeowners and homeowners who owe more than their homes are worth. Please read the following program summaries to determine which program options may be best suited for your particular circumstances.
You Must Contact Your Lender
If you are experiencing difficulties making your mortgage payments, you are encouraged to contact your lender or loan servicer directly to inquire about how to avoid foreclosure in Dallas, prevention options that are available. If you are experiencing difficulty communicating with your mortgage lender or servicer about your need for mortgage relief, there are organizations that can help by contacting lenders and servicers on your behalf.
FHA Assistance for Insured Homeowners
The Federal Housing Administration (FHA), which is a part of the U.S. Department of Housing and Urban Development (HUD), is working aggressively to halt and reverse the losses represented by foreclosure. Through its National Servicing Center (NSC), FHA offers a number of various loss mitigation programs and informational resources to assist FHA-insured homeowners and home equity conversion mortgage (HECM) borrowers facing financial hardship or unemployment and whose mortgage is either in default or at risk of default. These Gov’t agenies may be able to help avoid foreclosure in Dallas.
The Federal Housing Administration (FHA) has expanded the COVID-19 Recovery Options for all borrowers in default or imminent default, including non-occupant borrowers, regardless of the reason for default. If you are experiencing a financial hardship impacting your ability to make on-time mortgage payments, contact your mortgage servicer as soon as possible to discuss your options.
FHA-Insured Mortgage
Through its National Servicing Center (NSC), FHA offers a number of loss mitigation programs and informational resources to assist FHA-insured homeowners facing financial hardship, and whose mortgage is either in default or at risk of default, and how to avoid foreclosure in Dallas. Those homeowners should contact their mortgage servicer who will evaluate them for one of FHA’s loss mitigation options.
If you have an FHA-insured mortgage, these options may be available to you.
Forebearance Plan
A Forbearance plan allows a borrower to work with their mortgage servicer to temporarily pause or reduce their monthly mortgage payments and avoid foreclosure in Dallas, and may provide specific terms for repayment.
Special Forebearance Plan for Unemployment
Special Forbearance (SFB)-Unemployment: SFB is available when one or more of the borrowers have become unemployed and this loss of employment has negatively affected the borrower’s ability to continue to make their monthly mortgage payment. This program has helped thousands of homeowners avoid foreclosure in Dallas. The servicer will re-evaluate the borrower for a permanent Loss Mitigation Option to cure a Default once the borrower is gainfully employed and/or the SFB-Unemployment Agreement expires.
- Standalone Loan Modification: Resolves the outstanding mortgage payment arrearages by adding it to the principal loan balance of the first mortgage and extends the term of the mortgage to 360 months at a fixed interest rate.
- Standalone Partial Claim: Allows mortgage payment arrearages to be placed in a zero-interest subordinate lien against the property. The Partial Claim amount does not require payment until the last mortgage payment is made, the loan is refinanced, or the property is sold, whichever occurs first.
- FHA-HAMP Combination Loan Modification and Partial Claim: The FHA-HAMP Combination Loan Modification and Partial Claim establishes an affordable monthly payment, resolves the outstanding mortgage payment arrearages, and permanently modifies the first mortgage monthly payment. The Partial Claim is a zero-interest subordinate lien that will include a portion of the amount to be resolved and if you meet the requirements, a principal deferment. The remainder is added to the principal loan balance of your first mortgage and extends the term for 30 years (360 months) at a fixed interest rate.
The Pre-Foreclosure Sale
Pre-Foreclosure Sale (PFS): Avoid foreclosure in Dallas, by using the ‘Standard PFS’ is temporarily suspended and must not be offered through October 30, 2024, except for non-borrowers who acquired title through an exempted transfer. All other eligible borrowers must be evaluated for the COVID-19 PFS. If the borrower does not qualify for any of the FHA Home Retention Options and the property sales value is not enough to pay the loan in full, the servicer may be able to accept less than the full amount owed by approving eligible borrowers for a Pre-Foreclosure Sale, also known as a short sale.
Deed in Lieu of Foreclosure
Deed-in-Lieu (DIL) of Foreclosure: Standard DIL is temporarily suspended and must not be offered through October 30, 2024, except for non-borrowers who acquired title through an exempted transfer. All other eligible borrowers must be evaluated for the COVID-19 DIL. If the borrower is unable to complete a PFS transaction at the expiration of the PFS marketing period, they may be able to voluntarily offer to deed (“give back”) the property to HUD in exchange for a release from all obligations under the Mortgage.
Sell Your House in Foreclosure
Foreclosure can be scaery and confusing when you have never had the experience. At We Buy Houses Cash Dallas, we can help you avoid foreclosure and get baqck some of your equity. The best thing you can do right now is to educate yourself on your options. For some people selling your home is the best option, we’ll make a fair all-cash offer on your house today, just let us know about your situation here, sometimes we’re able to help homeowners avoid foreclosure in Dallas completely, and sometimes there are other options. Contact us today and let’s find out what we can do for you.
