Nebraska distressed homeowners can find free housing counseling help by dialing 2-1-1 to access a housing counseling service to assist with their mortgage delinquency or foreclosure situation. The information can also be accessed online as well by going to the state website and searching under foreclosure help or by calling (402) 444-666. Other free non-profit housing counseling services available to NE distressed homeowners include:
- Family Housing Advisory Services of Omaha
- High Plains Community Development Corp.
- Consumer Credit Counseling of Nebraska
- Credit Advisors Foundation
Federal Government Assistance
The United States Treasury Department and the Department of Housing and Urban Development (HUD) has information on their website about the Obama Making Home Affordable Program for distressed homeowners who need mortgage help because they may be or are currently facing foreclosure. Homeowners who have a home equity loan or second lien can also find help through the MHA program.
The government’s Home Assistance Mortgage Program (HAMP) is a voluntary loan modification program to help underwater borrowers obtain a loan modification with their lender. Both the borrower and the lender must agree to participate in the program. Eligible borrowers include:
- Borrowers who occupy their property as they primary residence
- Borrowers who obtained a mortgage on or before January 1, 2009
- Owe no more than $729,750 on their home loan mortgage balance
- Borrowers facing financial hardship resulting from a job loss, illness, disability, divorce, etc.
- Borrowers who are delinquent or about to default on their mortgage
- Have not been convicted of a felony, larceny, theft, fraud or foreclosure, money laundering or tax evasion during the last 10 years regarding a mortgage or a real estate transaction.
To find out more about the program, visit the HUD website.
For homeowners who are not in default and want to refinance, the government HARP program may be an option. Your mortgage must be owned or guaranteed by Freddie Mac or Fannie Mae on or before May 31, 2009. Your loan to value ratio must be greater than 80%, and you cannot have refinanced under HARP previously, unless it was a Fannie Mae loan refinanced under HARP during March-May 2009. More information about HARP can also be found at the HUD website or by searching under HARP.
The government HAFA program is part of the HAMP program. Those homeowners who are not eligible under HAMP and need to sell their home because they can no longer afford to make them payment and they are upside on their mortgage may be eligible for a short sale or deed in lieu of foreclosure under HAFA. The program also allows borrowers to be released from any deficiency judgment or other liability in connection with their loan balance. Financial incentives are given to borrowers to relocate a well as to loan servicers and investors. The HAFA program expires on December 31, 2012.
HOPE NOW is a co-program with HUD that helps homeowners find counselors, loan servicers, and other remortgage information and free foreclosure assistance.
Each lender may also have their own refinance, modification, reinstatement or forbearance program. It is recommended that you speak to a real estate foreclosure defense attorney to find out all your options as well. The attorney can assist you with negotiating a foreclosure resolution with your lender.