There’s an interesting article in the Star-Telegram that explains some of the advantages, disadvantages and tax implications of refinancing or modifying a home mortgage using the new Making Home Affordable government program.
The Making Home Affordable program is basically designed to stimulate the economy and avoid future foreclosures by encouraging homeowners to refinance high interest rate mortgages or modify adjustable rate mortgages using the program. But can this program help someone currently facing foreclosure? If your home is already in the process of foreclosure most likely this program will not be helpful in saving your home. To qualify for the refinance portion of the program you must not have missed any mortgage payments within the last year. In the case of the mortgage modification, the foreclosure may move so quickly that you won’t have time to complete the process before facing the foreclosure auction block.
If you’re facing foreclosure , you do need to request assistance from the mortgage company in the form of a mortgage modification, forbearance etc.; but you should also speak with a bankruptcy attorney to find out how bankruptcy can help you save your home. Foreclosure does not need to mean eviction, especially if you are still employed. Many homeowners facing foreclosure are able to save their homes using Chapter 13 Bankruptcy . Contact a Dallas-Fort Worth bankruptcy attorney today to find out how Chapter 13 bankruptcy can help save your home from foreclosure.