Kansas City Area

 

Prevent Foreclosure - Kansas City

With the nationwide subprime mess, the number of foreclosures in Kansas City area is at record high and rising. What can homeowners in Kansas City area do to prevent foreclosure? Alot of homeowners facing foreclosures are facing similar problems of rising interest rates on their adjustable rate mortgage, loss of jobs, medical bills, high gas price and the list goes on. Homeowners are finding themselves paying $200 or more in their monthly mortgage payments in Kansas City, payments that are higher than their wages, if they still have jobs that is.

Where can homeowners in Kansas City turn to in order to prevent foreclosure?

In this economy, homeowners are running out of options. In the Kansas City area, you can seek foreclosure help from the Greater Kansas City Housing Information Center. There are 10 area agencies that receive money from the government to help desperate homeowners prevent and avoid foreclosure, keep their homes by means of either:

  • credit counseling, or
  • mediating new terms with lenders

With the Federal Reserves cutting interest rates like crazy, new loans are better than old ones. The question is how can existing homeowners with existing high rate mortgages refinance when their situations are very bad. The Greater Kansas City Housing Information Center can offer assistance in helping to convince lenders to refinance their current adjustable rate mortgages. When homeowners are negotiating with new lenders or working with government approved agencies to get out of foreclosures, their foreclosure situation is frozen.

New government programs help homeowners in Kansas City prevent and avoid foreclosure by:

  • improving their credit,
  • working out repayment plans, or
  • qualifying for new loans at better terms.

However with limited budget and government agencies having their own financial problems, these agencies to help people get out of foreclosure cannot help every families that seek help. Currently they are helping about 25% of the families getting out of foreclosure. But more and more families in the Kansas City area are seeking foreclosure help.

Where to call for foreclosure help in Kansas City area?

If you are facing foreclosure and need help, then you can call the national hot line run by the Homeownership Preservation Foundation which is part of the Hope Now Alliance of businesses, government and nonprofit agencies. The number to call is 888-995-HOPE (995-4673). Once you call that number, you will be connected to one of their 450 counselors. They get about 4,500 calls a day currently but the number is growing.

If you are facing foreclosure but are afraid to call and negotiate with your lender yourself or you have trouble communicating with the lender, then this is the number to call.

One key reason why many homeowners are facing foreclosures and getting caught up in the subprime mess is aggressive loan brokers. The laws require that all homeowners be given the truth in-lending documents when getting mortgage loans but a larger number of aggressive loan brokers just wanted the commissions and never disclosed how much the rates could go up by. Unsuspecting, hopeful, and unsophisticated homeowners fall for the chance to get themselves nice homes.