NC Foreclosure Prevention
Foreclosure Prevention Options: Get To Know Them.
Alliance’s foreclosure prevention services provide every homeowner with a comprehensive, personalized review of their situation and helps you understand the advantages and disadvantages of each of your options.
All of our foreclosure prevention services are free. Alliance is a US Department of Housing and Urban Development (HUD) approved nonprofit agency, and our funding for foreclosure prevention services comes from Federal and State sources.
After losing my job over a year ago, I felt defeated at times. I felt embarrassed for the situation. Katie made me feel comfortable, and assured me that there was nothing to be embarrassed about: “life happens”. After that, I wasn’t embarrassed. Always kind and on top of her game. She really knows her stuff and cares about her clients.
– AISSA S. CHARLOTTE, NC
We thank you so much for all of your hard work! Words can’t explain how much your kindness means to us during this difficult time. May God continue to bless you as you strive to bless others!
– CHERYL T. CHARLOTTE, NC
Applications For Mortgage Modifications Are Twice As Likely To Succeed With Us.
A series of foreclosure prevention studies submitted to the US Congress have shown that homeowners who received counseling through HUD-approved housing counseling agencies were nearly twice as likely to get a mortgage loan modification.
Your Monthly Savings Will Likely Be $175 Greater Using Us.
The same studies showed significant monthly savings over the modifications obtained without the certified, experienced professionals at HUD-approved agencies like Alliance. Homeowners who received HUD-approved foreclosure prevention counseling averaged saving $176 MORE PER MONTH with their modification than those who did not.
Mortgage Loan Modifications
Loan modifications change the terms of your mortgage to make the payments more affordable. The best known of these is the federal government’s Making Home Affordable program called HAMP or Home Affordable Modification Program. There are other federal government programs, as well as many lender programs as well.
Private Modification Programs
Many lenders have private loan modification programs that are not associated with government programs, and sometimes they are a better alternative. In fact, most modifications are of the private type.
North Carolina Foreclosure Prevention Options
The NC Foreclosure Prevention programs help homeowners prevent foreclosure. Many of them are listed here, but new programs, including federal, state and private programs are being introduced frequently. It’s best contact one of our certified counselors to see what your options are, by using the form at the right or calling us today! The options fall under two general categories, retaining ownership and relinquishing ownership.
Foreclosure Prevention Fund Frequently Asked Questions
- Is there a fee for Foreclosure Counseling?
- What options exist for homeowners at risk of foreclosure?
- How long does the housing counseling process take?
- What documents are needed at initial housing counseling session?
- When foreclosure counseling has started, should a homeowner to talk with their lender?
- What is a short-sale?
- What is deed-in-lieu of foreclosure?
- What are foreclosure fees?
1. Is there a fee for Foreclosure Counseling?
No, we do not charge a foreclosure counseling. In fact, if anyone wants to charge a for foreclosure assistance, it is against the laws of almost any state. As a non-profit housing counseling agency, certified by the U.S. Department of Housing and Urban Development (HUD), we provide free housing counseling to those who are at risk of foreclosure.for
2. What options exist for homeowners at risk of foreclosure?
Options are determined on a case-by-case basis, and vary with the type of loan, payment status, and the homeowner’s financial situation. Homeowners having difficulty meeting their mortgage payments are encouraged to call our HUD approved housing counseling agency at (866) 303-3328. A certified housing counselor will identify all possible solutions and provide follow-up and support to the homeowner.
3. How long does the housing counseling process take?
The length of the initial counseling session averages 45 minutes to 1.5 hours. While it is getting quicker, it wil take a loan modifications. Our housing counselors will guide you through the process.several weeks, or perhaps even months, to work out
4. What documents are needed at initial housing counseling session?
In order to assist each homeowner, we need to have authorization forms, loan documents, a detailed budget, hardship letter, two most recent months of bank statements and pay stubs. These items must be available in order to complete a full initial counseling session, and to submit the paperwork to afor consideration of a loan mod or other arrangement.
5. When foreclosure counseling has started, should a homeowner talk with their lender?
Yes, borrower should communicate with their Loan modifications, or workout solutions, are completed between the and borrower. The housing counselor guides you through the process and assists in making knowledgeable, well-informed decisions to accept, or decline, any approved loan modifications.when facing financial hardship. During the counseling process, some lenders will contact the homeowner to verify the information submitted through the housing counselor.
6. What is a short sale?
A short sale is the Lenders generally require the home to be on the market for a minimum of 90 days, trying to obtain fair market value, before a short sale offer is accepted. However, some will disclose the minimum acceptable price to accelerate the sale.accepting less than the full balance of the mortgage to sell the home.
7. What is deed-in-lieu of foreclosure?
8. What are the fees associated with foreclosure?
NC Foreclosure Prevention Retain Ownership Options
Reduce or suspend monthly for a period then resume regular plus the of deferred amount on a schedule.
Requirements: Must be able to prove hardship circumstances, have a reasonable positive budget.
The loan, or even reduce the principal balance, individually or in any combination. may reduce the interest rate, monthly payment, extend the term of the
Requirements: Must have a positive budget, steady , and a good reason must exist for modification.
Obtain a new mortgage through conventional or special programs that are available.
Requirements: Terms vary widely, but credit performance must be good, with possible exception of late mortgage payments due to rate increases.
Requirements: Must be 62 years old or older, substantial equity in home, usually 50% or more of value. No credit check.
Obtain a reverse mortgage to replace the existing one.
See more reverse mortgage information.
Foreclosure Prevention Funds:
A charitable or government agency may be able to provide you with an interest free, deferred loan to catch up your , such as the N. C. Foreclosure Prevention Fund.
Requirements: Meet hardship requirements, demonstrate ability to resume mortgage after assistance ends, and agree to on-going credit counseling.
You may be able to obtain a loan from HUD (FHA loans only) to bring your loan current. You must be a minimum of 4 months behind.
Requirements: Must have an FHA Loan, Must have FHA mortgage insurance, must be able to afford current mortgage + FHA loan terms, must have a positive budget.
Spreading the defaulted out over a series of months, usually not more than six (6).
Requirements: Must have at least one , must have proof of income, must have a positive budget, must have the ability to pay current mortgage plus a portion of defaulted .
NC Foreclosure Prevention Relinquish Ownership Options
Allows homeowner to remain in their home, gives homeowner up to 2 years to improve their Financial situation, retain majority of their.
Requirements: Must have at least $20,000 in, must be in good condition, must have a credit score of 500 or better, must have proof of steady income, must be willing to attend credit counseling and work closely with a credit counselor during the rental period to improve your credit performance.
Sell your foreclosure.at a price equal to or above the amount owed and retain any resulting in your prior to
Requirements: Must be in the early stages of foreclosure.
A Short Sale is the sale of the loan in full.for less than (or short) the amount necessary to pay off the
Requirements: Must be able to document reason for short sale, decliningvalues in the neighborhood, cannot aford , need to relocate and must sell the , must be able to vacate immediately upon sale or prior to closing, understand that the may seek a deciency judgement.
Voluntarily “Give Back” yourto the . This will not save your but it will allow you to obtain another in the future.
Requirements: Must be willing to move quickly & to forfeit any.
Cash for Keys:
Sometimes in cases of extreme hardship Lenders are willing to provide a small amount of cash in exchange for possession.
Legal proceeding by Lender to obtain title and possession of real, typically as a last resort because it is very costly for the Lender.
Requirements: Do nothing, but you will suffer the long term effects on your credit file and the resulting higher cost of credit in the future.