North Carolina mortgage assistance and foreclosure help.
Mortgage assistance and help is available in all cities including Charlotte and Raleigh. Find a listing of the programs below. In addition to finding mortgage help from the government or non-profits (listed below), there are other resources for residents that are struggling. Families can find additional assistance and grant programs that can help you with paying other bills, and the agencies below give referrals..
If you are facing a foreclosure in North Carolina
Housing counselors recommend taking several steps. Following this process can help the homeowner position themselves for access to various mortgage programs, both private and government funded.
- You need to call your bank or lender as soon as you think you may have trouble with your payments. Call them before you miss any payments on your home loan. Never wait until you are behind on them. Be sure to open your mail as your lender may be trying to offer you help by sending you offers, some type of solution or communication.
- Numerous experts and mortgage counselors say that the number one mistake people make when facing a foreclosure is not communicating with your lender. As many as half of the foreclosures in North Carolina occur without any communication occurring between the lender and homeowner.
- Even if you don't qualify for a government program, mortgage modification, or help from your lender, you still have options. As an example of one, in a short sale, for example, the bank will agree to take less than what's due on the mortgage, and allow you to sell them home.
- Use the services of a professional or counselor. Get a listing of free HUD foreclosure agencies. A recent study has determined that homeowners who work with a mortgage or foreclosure-prevention counselor are much more likely to be successful in getting a loan modification. They often qualify for a bigger payment reduction than those who don't talk to a counselor.
The North Carolina Home Protection Program and Loan Fund
This program will provide assistance to homeowners who have lost their jobs. If you are found to be qualified to receive financial aid, then individuals can apply for a zero-interest loan for up to $24,000. The funds will them pay their mortgage and other housing related expenses. Learn more on North Carolina Home Protection program.
Program to delay foreclosures
North Carolina recently passed legislation that requires mortgage lenders to give homeowners and the N.C. Banking Commission 45 days notice before a foreclosure is filed. This legislation also gives the North Carolina commission the power to negotiate mortgage debt and bills directly with lenders on behalf of the consumer. The program is known as the State Home Foreclosure Prevention Project.
The North Carolina Banking commission is planning to spend at least $2 million on this assistance program. Part of this money will be used to hire additional administrative and professional staff to help struggling homeowners. As of early fall, the program has already helped hundreds of homeowners with their mortgages and home loan expenses.
In one case a woman who lives in High Point had a subprime loan that had an introductory interest rate of 8 percent and that was scheduled to jump to 12 percent. The commission was able to keep her existing loan at 8 percent, thereby saving her thousands of dollars in interest costs.
Also, Bank of American and Wachovia, two of the biggest banks in North Carolina and the nation, have committed to helping hundreds of thousands of homeowners refinance their mortgages and also reduce foreclosures. A a HUD counselor in order to learn more on ways to get mortgage and foreclosure assistance from these banks, as well as other programs and resources that are available, by calling them.
North Carolina foreclosure mediation
In North Carolina, a clerk of court can postpone a foreclosure hearing for up to 60 days. The delay is to allow time for the homeowner and the lender to work out a payment plan. In addition, the new law establishes rules for collection companies that try to collect old debts from consumers. Learn more about free North Carolina foreclosure mediation services.
Charlotte North Carolina foreclosure programs
Mecklenburg County and Charlotte have a number of non-profit agencies and programs that are targeted at helping homeowners save their home and prevent a foreclosure. Read more about foreclosure prevention in Charlotte.
Regulation to delay a foreclosure while a loan modification is reviewed
The state of North Carolina has created new rules and regulations that will delay a foreclosure while a mortgage modification is being reviewed. Click here to learn more about stopping foreclosures with a loan modification.
Basically what is does is that if a homeowner applies for a loan modification, the foreclosure process is put on hold. This will help buy time for the borrower while the application is reviewed.
Federal government housing aid
The federal government is funding a program known as the Hardest Hit Fund. This is providing hundreds of millions of dollars to the state that will be used to help homeowners pay their mortgages and stay in their homes. Read more on the North Carolina Hardest Hit Fund.
Free hotline for advice
The state, in partnership with banks, lenders, mortgage servicers, and non-profits has created a toll free number for individuals to call to receive advice and counseling. The goal is to help people avoid a foreclosure. Read more on the NC foreclosure hotline.
Free or low cost foreclosure counseling in North Carolina
Contact a NC HUD approved housing agency. Non-profit agencies are located across the state, and each is committed to helping homeowners save their home. Learn about all your options, including government programs, loan modification, and other options.
Raleigh, Durham, Chapel Hill and Cary mortgage programs
These cities in North Carolina, which are often referred to as the triangle, have several agencies that provide free foreclosure counseling and information on mortgage programs. They are also a great place to turn to for information on the various federal and state run programs, loans, and resources. Read more on how to get mortgage help in the Raleigh-Durham area.