Foreclosure Help

One of the main precipitators to our country’s economic collapse was subprime mortgage lending to high-risk buyers.  As a result, thousands of Americans are now struggle to pay their mortgages due to escalating adjustable rates and are at risk of foreclosure.

According to RealtyTrac, there were over 36,000 foreclosure filings in 2010 in Massachusetts alone.  It is currently estimated that 1 out of every 4 houses across the country are under water.

If you are at risk of losing your home, there are things you can do – starting with contacting one of our district offices.  Please note, however, that Members of Congress and their staff cannot order a mortgage or home lender to decide a matter in your favor.

There are a number of federally-sponsored programs available to assist homeowners who are having trouble with their home loans. The following are agencies or organizations that offer free or low-cost foreclosure prevention programs and resources to eligible homeowners.

Be aware, however, that there are numerous foreclosure schemes out there.  There is more information on these scams below.

 

The US Department of Housing and Urban Development

HUD provides a variety of resources for homeowners at risk of foreclosure and funds free housing counseling services throughout the country.  HUD-approved counselors can help homeowners navigate vwith their lenders when assistance is needed.
          Avoiding foreclosure in Massachusetts
          HUD-approved counseling agencies in Massachusetts


Making Home Affordable

As part of President Obama’s Homeowners Affordability and Stability Plan, this program helps to facilitate more affordable refinanced mortgages.  Basic eligibility requirements are listed below, but you should also contact the program to see if you qualify.
          You live in the home or have lived there in the last 12 months.
          You have a documented financial hardship.
          You have not purchased a new house within the last 12 months.
          Your first mortgage is less than $729,750.
          You obtained your mortgage on or before January 1, 2009.
          You must not have been convicted of a crime in connection with a real estate transaction.

 

NeighborWorks

NeighborWorks was created by Congress to provide financial support, technical assistance and training for community revitalization efforts.  It provides a variety of resources for preserving homeownership in the face of rising foreclosure rates.  HOPE for Homeowners, one of NeighborWorks most successful initiatives, is a toll-free national hotline that offers free foreclosure prevention and counseling advice from a third party, HUD-certified, not-for-profit network of counseling agencies dedicated to helping homeowners avoid foreclosure.
          Homeowner’s HOPE Hotline:  888-995-HOPE (toll free) (Hearing impaired:  877-304-9707 TTY)
        NeighborWorks Center for Foreclosure Solutions

 

HOPE NOW

HOPE NOW is an alliance of counselors and mortgage companies that have come together to provide streamlined and coordinated services.  Examples of the homeowner assistance HOPE NOW offers include in-depth debt management, credit counseling and overall foreclosure counseling.  

 

New England Mortgage Relief Fund

This initiative – undertaken by Citizens Bank, Sovereign Bank, TD Banknorth, Webster Bank, and Bank of America – helps homeowners who are paying high rates to refinance into a more affordable mortgage, thus often avoiding foreclosure.

 

Massachusetts Housing Consumer Education Centers

These centers offer housing information to homeowners and tenants, as well as landlords and prospective buyers.  There are nine member agencies across the state.  Below are the two in the 9th Congressional District:  
          South Shore Housing
          Housing Assistance Corporation on Cape Cod

 

MassHousing

MassHousing is a not-for-profit agency that provides financing for homeowners in need as well as potential home purchasers.  Its programs help to offset budget cuts to state-run housing programs.


"HELPING HOMEOWNERS" SCAMS

When seeking help with your foreclosure or remortgaging, beware of "helping homeowner" scams that seek to take advantage of homeowners in need of assistance.

Foreclosure Rescue Scams
Mortgage Assistance Relief Scams