Mortgage help in New Jersey. Find foreclosure assistance

Get assistance with your mortgage and find foreclosure help in all areas including Jersey City and Newark. Also locate additional assistance programs that are offered by the state of New Jersey that can help you with paying many other types of bills and debt. More.

Homeownership Preservation Refinance Program (HPRP)

This assistance program provides an affordable financing alternative to borrowers in New Jersey whose current mortgage is no longer appropriate for their current financial situation.

HPRP provides a 30- or 40-year mortgage loan that is fixed at a low interest rate for the life of the loan. Both 30 year and 40 year loans are available. The HPRP program provides one on one mortgage and financial counseling to help with bills, closing cost assistance, and aid is available to all families earning up to 140% of area median income. The maximum allowable family incomes range from $113,680 to $134,120 per year depending on where you live.

The loan provided can be equal to 100% of the appraised value of your house or 103% of the appraised value if you include private mortgage insurance in the mortgage loan.

Note that the borrower can’t take cash back except to pay for any out-of-pocket costs or to pay off a second loan that is directly related to the HPRP financing.

You may be eligible for this assistance if you have recently experienced a financial hardship because your mortgage payment has increased due to terms such as a rate reset, and if you have been denied a mortgage modification.

To qualify for aid after a rate reset, you may have up to a total of three 30 day late or one 60 day late payments on your current mortgage during the previous 12 months. There is no minimum credit score requirement. Also, the property that is being refinanced with the HPRP mortgage loan must be occupied as the borrower’s primary residence, and the borrower also must maintain occupancy of the home for the life of the loan.

To qualify for mortgage help before a rate reset, the borrower can’t have any late payments during the past 12 months. Also, the mortgage borrowers credit score can’t be lower than 575.

Also, borrowers who own other residential real estate property at the time of the HPRP application and loan closing are NOT eligible for the HPRP loan.

Another criteria is that the borrower must be able to document the financial hardship that is caused by the inappropriate mortgage loan that is being refinanced with the HPRP mortgage loan.

Lastly, the borrower has to be able to show that they have the ability to fully repay the New Jersey HPRP loan.

New Jersey Mortgage Mediation Assistance Program

This free program links homeowners with certified housing counselors and it encourages borrowers and lenders to reach an agreement on mortgage workout options, possibly including the waiving of fees and penalties or lowered interest rates.

If no resolution or solution is arrived at during this initial counseling phase, then the case moves to mediation, at which time the homeowners may be eligible, based on their household income, for free legal representation to help them with their mortgage and avoid foreclosure.

This new, one of a kind mortgage assistance program for New Jersey residents was created through a joint effort of the judiciary, the Housing Mortgage Finance Agency, the Office of the Attorney General, the Department of Banking and Insurance, the Public Advocate, and the nonprofit Legal Services of New Jersey. More on New Jersey foreclosure mediation.

Countrywide/Bank of America settle with New Jersey

To provide additional mortgage and foreclosure assistance to New Jersey families.

Mortgage Stabilization Program

Another recently enacted program is the New Jersey Mortgage Stabilization Program. This program is intended to encourage mortgage modifications to homes that are in immediate danger of facing a foreclosure. This is yet another resource being offered by New Jersey.

Housing Assistance and Recovery Program

This is a fairly new housing assistance program that will help homeowners stay in their homes. They will need to pay monthly rent until they are able to buy back the home at a later date. So it is a leaseback which provides the homeowner a place to live, and also the opportunity to reacquire the home at a later date.