After putting in years of hard work and dedication into ensuring that you are making mortgage payments on your home on time, there is nothing worse than being in a situation where you fall behind and risk losing what you have worked so hard for.
Losing your home is devastating, but actually losing your home because of foreclosure is not inevitable. There are methods on how to stop foreclosure proceedings.
Deciding what to do while under stress and pressure is difficult to do.
One of the options you might consider on how to stop foreclosure proceedings is the “Save the Dream Ohio” program. It is provided by the state government, various financial organizations and non-profit housing agencies.
Save the Dream Ohio started in 2008. It was designed to help homeowners in Ohio save their dream home where they currently reside and prevent foreseeable foreclosure proceedings. It was intended to help Ohio homeowners who are struggling with their monthly mortgage payments. The program helps homeowners recover from these delinquencies.
Save the Dream ohio is administered by the Ohio Housing Finance Agency (OHFA) which is funded by the U.S. Department of Treasury with a budget allocation of $762.2 million.
Save the Dream Ohio program works variously depending on the circumstances of each distressed homeowner. The program can either bring your delinquent first mortgage current and/or update your mortgage for up to nine (9) months.
The program works by providing a forgivable loan which earns 0% interest, no amortization and securing your property with a junior mortgage. The balance of your mortgage will then be forgiven over a 5-year period of time with 20% interest per year. After 5 years, your loan is fully forgiven.
Each homeowners’ situation is unique from one another. Save the Dream Ohio may provide a maximum amount of financial assistance for up to $35,000 or with an average amount of $14,400 as financial assistance.
Distressed homeowners who are not yet in foreclosure proceedings can take advantage of this program. However, there are certain criteria to meet prior to getting help:
If you have met the above criteria, with the help of your housing counselor, realtor or an attorney, you can submit the online application form along with required documents. Once you pass the pre-qualification screening, Save the Dream Ohio will reach out to your mortgage lender or bank. If your lender agrees to the terms of the program, you will then be contacted to sign the agreement paperwork.
For more guidance on the Save the Dream Ohio program, you may download the complete pdf file here. Please don’t hesitate to call us at 216-282-4332. We would be happy to answer your questions!