Housing

Does Clarifi offer financial assistance with mortgage payments?

Clarifi does not offer monetary assistance with mortgages. We assist clients by providing information on programs that may offer financial assistance, and also help clients make arrangements with their mortgage companies to avoid foreclosure.

Can Clarifi still assist me if I have past my 33 day deadline for counseling on ACT 91?

 

Yes. Our certified housing counselors will evaluate your financial situation and provide you advice on how to avoid default and foreclosure of your home. The counselor will work together with you and your mortgage company to assist you in resolving your mortgage situation through a loan modification, or other options which may be available to you.

 

What is the difference between a reverse mortgage and a home equity loan?

A home equity loan or line of credit allows you to borrow money, using your home's equity as collateral.

A reverse mortgage is a special type of home loan that lets you convert a portion of the equity in your home into cash. The equity that built up over years of home mortgage payments can be paid to you. But unlike a traditional home equity loan or second mortgage, no repayment is required until the borrower(s) no longer use the home as their principal residence.

To qualify for a Reverse Mortgage you must be a homeowner 62 years of age or older, own your home outright, or have a low mortgage balance that can be paid off at closing with proceeds from the reverse loan, and you must live in the home.

How long after a Reverse Mortgage counseling session will it take for me to receive my HECM certificate?

HECM certificates are generated and mailed to the client within 24 – 48 hours after counseling.  The counselors also have the ability to fax a copy of a certificate to the client, which also may take 24 – 48 hours after the session.

What is a hardship letter?

A financial hardship letter for mortgage companies or banks is a letter you send to your financial institution explaining why you are no longer able to make the payments on your house and indicate exactly what happened to cause your payments to fall behind.

These letters are being widely by homeowners today in order to help them avoid house foreclosure, participate in a Workout Solution or convince the bank to accept a real state short sale of a property.

What types of information should be included in a hardship letter:

  • Identify the reasons for failing to keep current with your monthly payments and the dates which coincides with the delinquency period
  • State your offer to resolve your debt
  • Show them you are willing to participate in a Workout Solution or the desire to retain ownership of the house or property
  • Your current contact information
  • Enclose copies of bank statements from the past two months, late notices on your car, last year's tax returns, and anything else you can find that shows the financial trouble you are going through