Mortgage Help For Single Mothers

Are you struggling to pay the mortgage? Unfortunately, that puts you in a difficult situation with millions of other Americans who have been hit hard by the economic crisis. There are ways for a single mother to get help with paying her mortgage, but it will take some time and effort – and a lot of research into which option is best for you. This primer will get you started with the three most popular options.

Homeowner Affordability and Stability Plan. This plan offers two areas of help for single mothers or anyone else who is in over their head with a mortgage. Launched in March 2009 by the Obama Administration, the plan provides for refinancing on the balance owed on the mortgage. This will be helpful to you if your loan is owned by Fannie Mae or Freddie Mac.

If you didn’t borrow through either of them, there is still hope. All others might be eligible for the Loan Modification Program, which allows homeowners to reduce their payments for five years in order to get their heads above water and their finances in check. At the end of those five years the payments would go up – but it does offer a bit of breathing room during a difficult economic time.

HOPE NOW. Hope Now is an organization that strives to bring together homeowners, lenders, banks, and anyone else who might have a vested interest in keeping a single mother or any other homeowner in their house. Defaulting on a mortgage is something no one wants. Hope Now serves as the middleman between those who are demanding money and those who are having trouble paying it. Though it might not be the ultimate answer to a mortgage crisis, it is a step in the right direction.

Mortgage Insurer. It might seem surprising, but one source of help could come from the company that has insured your mortgage. If your home is foreclosed, they don’t get any premiums from you, and they could wind up losing more money than you ever paid into the mortgage in the first place. In order to prevent this, many insurers have counseling services and options in place for those who are struggling with their mortgage payments.

One of the most important things you can do to prevent problems with your mortgage – or head them off at the pass – is to pay attention to every letter you receive in the mail concerning your loan. Many homeowners have lost their homes simply because they threw a letter away or didn’t respond in time to a request from a lender. So pay attention to everything that hits your mailbox, and be open to working with lenders and insurance companies. It’s definitely better than nothing, and can help set your mind – and your finances – at ease.