The Hope Now Alliance is a program which offers free counseling to homeowners in jeopardy of defaulting on their mortgages. Whether the borrower is already behind in payments, is facing problems when the adjustable mortgage rate resets, or is able to stay current once the rate resets, help and advice is available.
The first step is to call the 24/7 hotline at 888.995.HOPE (888.995.4673).
HUD-approved counselors are on hand to gather information on the homeowner's situation and to determine eligibility for various options. The call will take around 45 minutes and the caller can expect the counselor to recommend action steps if the information gathering goes well, or a follow-up call if income and debt information is not readily available.
Recommendations vary based on individual circumstances, but options include refinancing, temporary rate freezes, and loss mitigation strategies such as a short sale or deed in lieu of foreclosure. Most often, the best advice is to be pro-active and not avoid the situation because of fear or anxiety.
When homeowners call they will NOT be judged or even billed for the service...it really is intended as a free resource for troubled borrowers to get the help they need, as it is in everyone's interest to rectify these problems quickly.
My best advice to you is MAKE THE CALL.