MANAGING YOUR MORTGAGE Helping Homeowners Stay In Their Houses

(NAPSI)-Even though the current economic climate is making it a buyer’s market, many potential homeowners are wondering if they should commit to making what’s considered one of the largest purchases in their lifetime. The loss of a job, a reduction in work hours, unexpected illness, divorce or a sharp rise in adjustable mortgage interest rates are all potential scenarios that could put a homeowner’s ability to make mortgage payments in danger. A Solution Just as homeowners insurance protects against disasters such as fire, some families are now taking advantage of a free service available to help them when financial difficulties might put their home at risk. Many who used mortgage insurance to buy homes with low down payments have access to homeowner assistance programs if they fall behind in their payments. The programs offer loan modifications, repayment schedules and other scenarios designed to remedy or “work out” the problem so as to avoid foreclosure. “Our goal is to keep the homeowners in their homes and mitigate the losses that both homeowners and lenders suffer in a foreclosure situation so that everyone comes out a winner,” said Kevin Schneider, president of Genworth Financial’s U.S. mortgage insurance division. Over 90 percent of the nearly 8,000 workouts his company approved last year helped families avoid foreclosure. “The very first thing we tell homeowners when we make contact is that we are not calling in an attempt to collect money; that our service is free because it’s a feature that comes with the mortgage insurance they already paid for,” explained Schneider. How It Works Mortgage insurance helps homebuyers with a down payment of less than 20 percent qualify for a mortgage. By protecting the lender if the borrower defaults, it helps make low down payment possible. It is also tax deductible, like mortgage interest. In today’s environment, protection against financial disasters is something every homebuyer needs to consider. Like any form of insurance, there is a chance that you will never need to take advantage of the extra benefits of mortgage insurance, but the extra security it provides is one reason homebuyers are increasingly turning to this safe, low down payment mortgage option. Learn More To learn more, visit www.smartermi.com. Homeowner assistance workouts have helped avoid foreclosure in as many as nine out of 10 cases.

Word Count: 379