Falling behind on your mortgage may be stressful, but don’t lose hope. From loan modification to help from the federal government, there are many assistance options that have helped homeowners get back on track.
We’ll do everything we can to determine your eligibility and match you with the help you need.
To simplify the process, you’ll only need to fill out one general application. Once we have your completed application and all your supporting documentation, we’ll determine which options you qualify for and which is best for your situation.
If it’s getting harder to make your payments but you haven’t fallen behind yet, you may have a simple, effective option: Refinancing your mortgage to one with a lower monthly payment.
To refinance as part of a mortgage assistance plan, your account needs to be current for the past six months. Also, there can’t be more than one late payment on your record over the past twelve months.
There are a few other eligibility requirements we’ll be glad to go over with you when you call.
If you qualify, refinancing can be one of the easiest ways to get back on track without big impacts to your credit score or living situation.
If you fell behind on your payments due to a temporary hardship—such as a big medical bill or drop in your small business’s revenue—but you’ve returned to a point where you can pay your amount due each month, you may be a candidate for a repayment plan.
If you qualify, we’ll spread the sum of your late amount due over a manageable timeframe. Instead of owing it all at once and potentially incurring late fees, you’ll just have a relatively small increase to your future monthly payments until you’re all caught up.
Like all mortgage assistance options, the sooner you let us know about your need for help, the more likely a repayment plan will be available to you.
If you’re facing long-term hardship, we can see about modifying your loan so it has more manageable terms.
While refinancing means replacing your existing loan with a new one, loan modification keeps your existing loan and changes its terms.
If you qualify for loan modification, we’ll look for a way to reduce your monthly payment. Maybe we’ll be able to lower your interest rate. Or maybe we can extend the loan’s timeframe so we can lower each month’s payment.
Sometimes, unfortunately, there isn’t a financially feasible way for you to keep your home. (Or perhaps you’d prefer to leave, given the circumstances.)
In such cases, there are options that can give you a fresh start without the difficulties of the foreclosure process.
A common option is a short sale. Pending investor approval, a short sale can allow you to sell your home for less than you owe on the mortgage.
If you’re approved for this option and are able to sell your home, the sales proceeds will be applied toward your mortgage debt. In some cases, the remaining mortgage debt may be forgiven depending on state law and investor requirements. You’ll also avoid the foreclosure process and get a head start on repairing your credit.
After we talk with you and agree that a short sale is your best option, have your realtor begin the process at equator.com.
An alternative to a short sale is called Deed-In-Lieu of Foreclosure.
Deed-in-Lieu means that you transfer ownership of your home to your lender. This is a more streamlined process than a foreclosure, and it may have less of a negative financial impact on you.
With a Deed-in-Lieu arrangement, you’ll have plenty of time to plan your move and transition out of your home. You may also be eligible for relocation assistance or assistance with paying other liens and judgments against your property.
These arrangements are subject to investor approval and certain other eligibility factors. We’ll be glad to talk all this through with you when the time comes.
You’ll need to complete the Statement of Information form during the Deed-in-Lieu process.