Following is a brief list of options that might be available to you to help save your home. 
 
Mortgage Assistance
PHFA has established the Foreclosure Mitigation Counseling Initiative to help interested homeowners save their homes. Twenty-eight counseling agencies in the PHFA Comprehensive Housing Counseling network are participating in this program.

HEMAP is a program of the state of Pennsylvania which will loan you money to pay your mortgage for up to 24 months.  You must pay it back when you are financially able, but not before.  To be eligible:
1.  You must be less than 24 months behind in your mortgage or you must have money available to you to bring the number of months you are behind down to 24 months or less;
2.  Your default must be for circumstances beyond your control;
3.  You must have a reasonable prospect of being able to start making your mortgage payments again within 24 months of the beginning of your default.
4.  Your loan must not presently be insured by FHA.
The HEMAP program can provide you with a loan that will bring your mortgage current. The program can also lend you money to pay current payments for a total of 24 months.  Repayment of the HEMAP loan is based on your income and your ability to pay.
To apply for HEMAP you are supposed to get a notice (Act 91 notice) from your mortgage company telling you of your right to apply for HEMAP.  It is supposed to come both certified and first class.  It is required to be sent prior to any foreclosure action in the state of Pennsylvania.  When you get the Act 91 notice you have 33 days to apply to one of the housing counselors who take HEMAP applications. All foreclosure actions cease until a decision is made on your eligibility.  If you never received the Act 91 notice, but are in foreclosure, you can apply by getting a copy of the notice from your foreclosure complaint or the mortgage company and telling the counseling agency that you never received the Act 91 notice.
The HEMAP webpage http://phfa.org/programs/hemap/index.htm will link you to a listing of housing counselors who can process your HEMAP application or call PUP at 215-557-0822 for the listing.  The Pennsylvania Housing Finance Agency handles HEMAP approvals and loans.
 
LOSS MITIGATION FOR HUD OR FHA LOANS

This option is available if you have a FHA loan.  To be eligible:
1.  Your loan must be less than 12 months behind or you must have money to bring the number of months you are behind down to 12 months;
2.  You must have a reasonable prospect of being able to begin making your full mortgage payments again so that you are able to keep your mortgage from being more than 12 months behind.
Your mortgage company can enter into a a Special Forbearance Agreement with you.   Under such an agreement you can pay partial payments or no mortgage payments so long as you are able to keep your mortgage from being 12 full mortgage payments behind.   The payment you have to make should be based on your income and your expenses.
 When you have enough income to begin making monthly mortgage payments your mortgage company can help you to get a loan from HUD, called a Partial Claim that can pay off up to 12 months of mortgage payments.  There is no interest on this loan and you will not have to pay it back until your mortgage is paid off.
Your mortgage company can also, if your income is sufficient to resume your regular mortgage payments, modify your mortgage.  This will allow your arrears to be included in your mortgage and your loan be recast at reduced or current payments.  Any legal fees or costs associated with the foreclosure will have to be paid outside of the loan modification, but can be paid off over time.
This is a link to the HUD web page and a list of HUD approved Counseling agencies that can help you (http://www.hud.gov/foreclosure/index.cfm ).   Your mortgage company has to consider your application for this help and it should not tell you that it cannot help you because you presently have no income or too little income if you can show that you will be able to get income in the foreseeable future.   You can ask your mortgage company to stop the mortgage foreclosure while it considers your application for help.  If your mortgage company refuses to be helpful you can complain to the FHA by writing to:


U.S. Department of Housing and Urban Development
Servicing and Loss Mitigation Division
500 W. Main Street, Suite 400
Oklahoma City, OK 73102

If you think you are unable to afford to save your house, your mortgage company may be able to stop the sheriff sale so that you can sell the house at a private sale.  This could enable you get some money from the sale, if the value of the house is more than the balance of the mortgage.  The mortgage company could also agree, under certain circumstances to accept, a deed from you for the property and to pay you up to $500.00 for the Deed.

 

FHLBank has partnered with the Pennsylvania Housing Finance Agency (PHFA) and the Delaware State Housing Authority (DSHA) to present a series of summits designed to help civic leaders learn more about specific ways they can help homeowners avoid foreclosure.
 
 
The HOPE for Homeowners (H4H) program was created by Congress to help those at risk of default and foreclosure refinance into more affordable, sustainable loans. H4H is an additional mortgage option designed to keep borrowers in their homes.
 
  
The Federal Reserve Banks have established Foreclosure Resource Centers to help address local and regional challenges in their mortgage markets and local communities.  In addition, they have dynamic maps and data that illustrate subprime and alt-A mortgage loan conditions across the United States.  The Federal Reserve of Philadelphia has developed a toolkit to assist communities in addressing the current turmoil in the housing market and minimize the impact of foreclosures on neighborhoods. Web links and local resources are included. 
 
 
This new website offers resources intended to help states and localities respond to the foreclosure crisis.  It includes a Q&A on foreclosure prevention, a policy guide, and customized maps and data for your community. The site is maintained by the Center for Housing Policy, KnowledgePlex, Local Initiatives Support Corporation (LISC), and the Urban Institute.
 
 
Provides free foreclosure prevention counseling by expert counselors at HUD-approved agencies. A toll-free hotline 888-995-HOPE is available 24 hours a day, 7 days a week.
 
  
HOPE NOW is an alliance between HUD-approved counseling agents, mortgage companies, investors and other mortgage market participants that provides free foreclosure prevention assistance.
 
 
HUD has developed guidelines for helping to avoid foreclosure, as well as a list of HUD-approved housing counseling agencies for those already struggling to save their home.
 
FEDERAL EMERGENCY MANAGEMENT AGENCY (FEMA) AND OTHER GRANT PROGRAMS

If you have most of the money you need to stop the sale of your home, but you do not have all of it, you may be able to get a small grant - usually $1,500.00 or less from one of several agencies around the Philadelphia. 

 
BANKRUPTCY

In some cases a Chapter 13 Bankruptcy can be used to help you save your home.  A chapter 13 Bankruptcy can be especially helpful where the default was the result of a temporary loss in income or where the mortgage is a predatory loan that can be reduced through litigation to a an amount that is affordable.   In some rare cases a Chapter 7 Bankruptcy can be helpful if your inability to make the mortgage payments is the result of large unsecured debts that you have been trying to pay.  
 

Contact Stacey for help.

We have a referral network to help you with any of the above options.