Help to Stop Foreclosure

The recent housing crisis has left many families facing the possibility of foreclosure. In April, 2008 it was estimated that one out of every 194 U.S. households had received a foreclosure filing. with this many families dealing with foreclosure, there are many people asking the question of whether or not there is some type of government help available to stop foreclosure.
While congress debates on what to do about this issue, there are already several government agencies that may be of help to distressed homeowners.
HUD (The Department of Housing and Urban Development)
HUD provides education and referral resources for homeowners. HUD offers sliding scale counseling and may be helpful when it's time to negotiate with your lender. HUD can also educate you on your options and may be able to provide assistance if you think that your lender is not acting in good faith. They also maintain current resources and a list of programs that provide relief to homeowners.
HUD's website can be visited at http://www.hud.gov for more information.
FEMA (Federal Emergency Management Agency)
If you have been the victim of a natural disaster such as a flood or storm related disaster, FEMA may be able to provide you with assistance if your financial problems are related to your losses. While this situation does not apply to the majority of homeowners, not everyone who qualifies knows that this help is available.
Federal Housing Administration (FHA)
The FHASecure Program is an existing government program designed to assist troubled homeowners who have fallen behind on payments due to adjustable rate mortgages and interest only loans. This program assists homeowners in refinancing their ARM's to fixed rate mortgages. The FHASecure program operates with the help of mortgage lenders who provide new loans to homeowners.
This program is not for everyone. Families with fixed rate loans already are not eligible and everyone still has to qualify for these new loans. What this means is that you should have decent credit and some equity in your home already for the FHASecure program to be of much help to you.
What Other Options Are There?
Aside from government programs, there are ways that homeowners can receive help directly from their lender. This is the most common and ultimately the best solution for many folks. By discussing your problems with your lender's loss mitigation department, you may be surprised to find that many lenders will negotiate with you to help bring your loan current and with payments you can afford.
Early action is the key to success when it comes to avoiding foreclosure. As soon as you fall behind, pick up the phone and open lines of communication. If you are proactive, there are a variety of private resolutions that can be explored between you and your lender. Ultimately, your lender does not want to foreclosure on your home any more than you want them to and they can be quite helpful in negotiating a mutually agreeable resolution.