This website provides general information about Keep Your Home California, its programs and services, and summarizes major policies and guidelines pertaining to foreclosure prevention assistance. Website content does not always reflect the most recent changes to programs or services nor is it intended to be a comprehensive resource for determining program eligibility. Program descriptions are intended to provide a broad overview of current programs and may not include all of the elements considered in the eligibility process. Keep Your Home California reserves the right to change, delete, supplement or otherwise amend, at any time, the information, requirements, policies, procedures and program descriptions contained on this website.
Interest – This is what you are paying to borrow the money for your home. It is calculated based on the interest rate, how much principal is outstanding and the time period during which you are paying it back. At the beginning of the loan repayment period, most of your payment actually is going toward interest, with a small portion going against paying down the principal. Over time this will reverse and more of your payment will go toward reducing the loan balance.
Find out more about additional programs and options now being offered by JP Morgan Chase. The lender is continually creating new resources for those who need help. These programs are providing homeowners several additional options for mortgage delinquency counseling as well as foreclosure assistance. The bank is doing its best to help customers of all ages, backgrounds, and income levels, and they want to prevent as many foreclosure as possible. Find additional foreclosure and mortgage assistance from JP Morgan for housing issues.
Selling Your House: Your servicers might postpone foreclosure proceedings if you have a pending sales contract or if you put your home on the market. This approach works if proceeds from the sale can pay off the entire loan balance plus the expenses connected to selling the home (for example, real estate agent fees). Such a sale would allow you to avoid late and legal fees and damage to your credit rating, and protect your equity in the property.
Mortgage loan repayment works through a process called amortization. When you take out a mortgage loan, you agree to pay back the principal amount (actual loan money) in addition to interest over a specified period of time. Because the interest can add up to more than the principal amount, an amortization schedule (provided by your lender) balances out the interest and principal cost over the course of the loan repayment. A borrower pays off more interest to start, and the ratio gradually reverses to where the borrower pays off more of the principal as the loan nears its end. This way, the payment amount is able to remain stable over the course of the loan. If you're considering refinancing your mortgage, an amortization schedule is an essential tool in learning how much money you can save.
The material provided on this website is for informational use only and is not intended for financial, tax or investment advice. Bank of America and/or its affiliates, and Khan Academy, assume no liability for any loss or damage resulting from one’s reliance on the material provided. Please also note that such material is not updated regularly and that some of the information may not therefore be current. Consult with your own financial professional and tax advisor when making decisions regarding your financial situation.
Learn about a federal government program, Hope for Homeowners, that is offered through the Federal Housing Authority (FHA). It will help hundreds of thousands of lower income homeowners pay or refinance their mortgages (including subprime). Some forms of help may even be available if the value of your home has significantly declined and if your loan is “underwater”. Continue with Hope for Homeowners.
Save the Dream Tour: The NACA also has a venue to facilitate mortgage modifications, and it operates from dozens of major cities. The Save the Dream Tour has tens of thousands of homeowners participating at each event, and thousands of people who attend are able to have their mortgage restructured the same day. Attendees can meet directly with representatives from many banks and lenders. They can have their interest rates lowered to as low as 2%, or their principal reduced, or receive other forms of aid.
A mortgage is essentially a loan for purchasing property—typically a house—and the legal agreement behind that loan. That agreement is between the lender and the borrower. The lender agrees to loan the borrower the money over time in exchange for ownership of the property and interest payments on top of the original loan amount. If the borrower defaults on the loan—fails to make payments—the lender sell the property to someone else. When the loan is paid off, actual ownership of the property transfers to the borrower.
Mortgage forbearance programs are offered by numerous lenders, including Bank of America, JP Morgan, Citibank, and Wells Fargo. Forbearance allows borrowers a temporary suspension of their monthly mortgage payments. So a homeowner will have time to explore their options, receive counseling, or modify their loan during this timeframe. In addition, a foreclosure on your home will not occur during the forbearance period. Learn more on mortgage forbearance.