5 Tips On How To Catch Up On Your Mortgage Payment
January 25th, 2024
Did you know that 13.4 million Americans are behind on their mortgage payments right now? It’s a staggeringly high number, but it also shows that you’re not alone if you’re currently in this situation. With interest rates and inflation on the rise, some homeowners are being forced to decide between putting food on the table or keeping the roof over their family’s heads. So, what can you do if you’ve fallen behind on your payments? Well, our experts at Evergreen Home Buyers have compiled 5 things to do if you’re behind on your mortgage payment so you can get back on track as soon as possible.
1. Speak with Your Lender
The first thing you’ll want to do if you know you’re not going to be able to make a payment is speak with your lender. Your lender might be able to extend your grace period, especially if you have an otherwise clean payment history. The sooner you speak with your lender, the higher chance you’ll have to avoid the fees and penalties from adding up.
2. Consider Refinancing
Beyond speaking with your lender, you could consider refinancing your mortgage. Although eligibility will vary from case to case, securing refinancing will typically result in lower interest rates, better terms, and a lower monthly payment. However, you should know that refinancing is not free and will likely cost you several thousand dollars.
3. Apply for Mortgage Forbearance
If you cannot refinance or it’s not the right option, you may want to apply for mortgage forbearance. This option is best for people facing a temporary hardship or loss of income because it essentially puts your mortgage on hold temporarily. With mortgage forbearance, your payments are either suspended or reduced for a set period with the agreement that you’ll pay a lump sum or instalments after the time ends.
4. Set Up a Personal Loan
Sometimes going through a financial institution is just not going to work, meaning you turn to your family and friends to try and set up a personal loan. Although many people do not prefer to do this out of pride and dignity, there’s no shame in admitting you need some financial help so that you don’t lose your home. Admittedly, this might not be a viable option in every scenario, but it’s a good suggestion that some people who are behind on their mortgage payments can take advantage of.
5. Contact a Professional Home Buyer
If none of these options seem like the right fit for you or you’ve fallen so far behind that you’re facing foreclosure, it might be time to contact a professional home buyer. At Evergreen Home Buyers, we are a team of professional home buyers based in Jacksonville, Florida, that buy houses just like yours as-is for cash, and we can close in as little as two weeks! So, for a completely quick and painless way to sell your home for cash faster, visit www.selltoevergreenjax.com today.