HUD Foreclosure Counseling To Be Cut?

Well, it looks like there goes the free loan modification help. With congress on the verge of a slash and burn budget campaign it appears that $88 million will be cut from the HUD budget. This means that, in the middle of the housing crisis, the funding which goes to local HUD approved housing counseling agencies, intermediaries, and state housing finance agencies for prepurchase, rental, reverse mortgage, and foreclosure counseling will not be available.

Before we totally sound the alarm, we got clarification that the HUD funding under discussion would fund 2012 housing counseling, meaning that the current funding for 2011 remains in place. We also hear that National Foreclosure Mitigation Counseling Program got $65M in funding.

Still, anyone who thinks that people won’t need to counselor assistance for loan mods, foreclosure assistance and the like in 2012 better take a good look at the possible adjustable loans still on the horizon. Let’s not forget that many people with normal fixed rate loans can’t pay their mortgage if they lose or don’t have a job.

If the counseling budgets do get slashed people can always turn to the banks for loan modification assistance but without a counselor that’s like getting a loan without a loan officer or selling a property with a real estate agent.

Advertisements

1 Comment

Filed under Foreclosure, Loan Modifications, Mortgages, pre-foreclosure

One response to “HUD Foreclosure Counseling To Be Cut?

  1. Have you ever considered about adding a little bit more than just your articles?
    I mean, what you say is valuable and all. But
    think of if you added some great visuals or videos to give your
    posts more, “pop”! Your content is excellent but with pics and clips, this blog could certainly be
    one of the most beneficial in its niche. Great blog!

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s