The housing market struggles have hit our entire nation with a vengeance, leaving too many homeowners with few options. Military families are no different and many have found themselves facing foreclosure as their service member is off fighting for the nation’s freedom. Fortunately, military families are offered some additional assistance that has helped save the homes of many service men and women.
Veterans from all branches of the military have been afforded unique opportunities for obtaining mortgage loans and have now become eligible for mortgage debt support. The United States Department of Veterans Affairs offers help to veterans that are behind on their mortgage payments. Veterans can receive help with repayment plans, forbearance agreements and loan modifications. Unlike the regular sector, veterans may also receive approval for more time to arrange a private sale of their home outside of a short sale or foreclosure proceeding.
The Servicemembers Civil Relief Act is a program designed to help veterans obtain lower monthly payments by lowering interest rates for one year or prevent a foreclosure proceeding for up to nine months. To qualify a service member must have fallen into mortgage trouble prior to or during their active service period.
Borrowers of VA loans may also be able to obtain special foreclosure assistance. The VA will provide supplemental servicing to help alleviate the mortgage default and help the borrower get caught up on their payments. In the event the service member cannot resolve their mortgage debts, the VA provides personal representatives to help explore all foreclosure alternatives.