A basic guide to mortgage relief

Unexpected events can happen at any time and may have a large impact if you’re a homeowner. Mortgage relief offers assistance to homeowners in need of aid on their mortgage which can ease some financial burdens. 

What is the American homeowner relief program?

The American homeowner relief program was created to protect homeowners from perils such as loss of utilities, foreclosure and other risks that can put homeowners' place of dwelling in jeopardy. These perils may come about due to economic reasons, loss of employment, medical debt and more.

Relief options may include but are not limited to: 

• Waiving late fee penalties.
• Adjustments to mortgage payments to offer homeowners the chance to make lower monthly payments in the event of financial hardship. 
• Forbearance, which suspends your monthly mortgage payment for a set amount of time. 

How do you qualify for a mortgage stimulus?

To qualify, the home you apply for must be your primary residence. State requirements may differ, however most states require proof of income at or below the median income level. 

The balance of the mortgage must be below $548,250 and the amount received in your stimulus package will vary per state. 

Once you’ve qualified for a mortgage stimulus, funds may be used for: 

• Monthly mortgage payments.
• HOA fees. 
• Homeowners insurance payments. 
• Monthly home utlities (water, electricity, gas, etc.). 
• Internet.
• And more. 

If you need mortgage relief, consider speaking with your mortgage lender to get details on your state's relief package and what’s needed for your household to qualify.