Ross and Candace fell way behind on their house payments due to loss of employment. When I first saw them, they were very anxious about the possibility of losing their home. I did not believe that we would get the first mortgage modified because it wasn’t a Freddie, Fannie or FHA loan and they were quite delinquent.
The good news is the clients received word that they were approved for a trial modification at $719 a month which was a reduction from $833 a month, with a reduced interest rate from 6.25 percent to 5 percent.
One of the ways SNAP was able to help the Ross and Candace was by getting all the paperwork prepared. They had tried to apply for a few modifications before but were denied because they didn’t turn in all the required documents. We see that happen quite often when someone is dealing with job loss, financial challenges or health issues. Our role is to help homeowners get things in order.
Ross and Candace eventually received a permanent modification with a full forgiveness of their second mortgage and a modification of their first mortgage, which brought the loan current and reduced the interest rate.
I know both Ross and Candace are extremely grateful to SNAP for the help we were able to provide. The house has now been in the family for 104 years.
Story written by Dale Raugust, SNAP Housing Counselor. Originally published: 11.27.13