When seniors are struggling to pay their mortgage there is a good chance they will lose the home to foreclosure. When they start coming up short is the best time to begin looking for foreclosure assistance. The longer someone waits to address a foreclosure situation, the more at risk they may be for losing the home. Taking action needs to happen quickly, making it crucial to know about the programs that are in place to help seniors.
Foreclosure is the legal process that takes place when someone defaults on their home mortgage. Seniors who are struggling to pay their monthly mortgage may fall behind or stop paying it altogether. If this happens, it is only a matter of time before the bank that holds the mortgage loan will take legal action to protect their investment. The legal process they take is called a foreclosure.
How Foreclosures Work
The state that someone lives in will play a big role in how long the foreclosure process takes once someone has fallen behind on making payments. There will be many notices sent out to the person in attempts to get the person to bring the account up to date. If it is not brought current, then the legal proceeding continues. In some states the foreclosure process may take only 60 days, while in other states it can take up to 200 days or more.
The foreclosure process is going to be a legal proceeding that seeks to remove the person from the home, and then the bank take it. The bank will then sell it and pay off the debt that is owed. They usually sell it for much less than it is worth, however, because they are wanting a quick sell and they seek merely to get what is owed to them on the outstanding mortgage.
Foreclosure timelines give people ample time to address the situation. Even if they cannot come up with the funds on their own to address the issue, there is a good chance they can get help through programs. The programs they turn to can help them avoid foreclosure if they meet the requirements and are approved.
Foreclosure Assistance Programs
The first step that seniors should take if they are facing foreclosure is to contact the bank that holds their mortgage. Discuss the situation and see what options they have available that may be able to help them. Most banks don’t want to go through foreclosure, but they do want to get paid what is owed to them. They may be able to provide a list of resources and helpful programs that can be used.
Seniors who are struggling to pay for their mortgage and are facing foreclosure do have options. There are foreclosure assistance programs they can turn to that can help them get their payments caught up and help them avoid losing their home. It is a good idea to contact all of the programs to see which one will help with the situation, because each program may have different amounts of funding available to them and the requirements for each one may vary.
- Housing and Urban Development (HUD) – This federal agency is the largest provider of foreclosure and housing assistance in the country. They have programs in place that will help seniors avoid foreclosure, in addition to a variety of other programs to help them find affordable housing options, pay rent, pay for home repairs, and more. To get help through their programs, you have to meet the low-income requirements and be a citizen or legal non-citizen. There is a HUD office in each state. To get more information and apply for their assistance programs, you have to contact the HUD office in your state. To find your state’s office, click here.
- Public Housing Authority (PHA) – Each state has a Public Housing Authority office. There are also many smaller ones found in cities around the country. They are offices that provide a wide variety of housing assistance programs to people who live in the area where they are located. You can contact a local Public Housing Authority office to see what programs are available to help seniors with foreclosure assistance. To get more information and find some of the Public Housing Authority offices in the country, click here.
- AARP Foundation – This organization focuses on seniors in the country. They provide a wide range of resources that are helpful to the senior population. Seniors can contact them to get information about how to obtain foreclosure assistance in their area. To get more information, click here.
- S. Department of the Treasury – While most people are used to this being the place where you send in your taxes each year, they are also helpful in providing foreclosure assistance. They help thousands of people each year to avoid foreclosure. The programs are available to U.S. citizens who meet the low-income requirements. To get more information and apply, click here.
- Alliance for Aging – Considering foreclosure is a legal action, many seniors may need legal assistance. The Alliance for Aging will offer free and reduced legal services for seniors in the country. They also offer a range of resources to help people find free and low cost legal help for seniors. To get more information, click here.
Additional Options
In addition to the foreclosure assistance programs listed above, seniors should contact some places in their community that may provide them with the help they need. Churches are one of the best places to contact because most have a mission of helping people who live in their community. By contacting churches in the area, you can see which ones will be willing to help financially. Additionally, you can get information about other helpful programs in the area from them.
It is important to contact several programs when you are facing foreclosure. This is going to be the most effective route to finding a program that will provide the assistance you need to save your home. Each program you contact may be able to provide you with assistance, or they may be able to refer you to another helpful program where you can get financial help. Be consistent in contacting places and looking for the necessary help to save your home.
