Felons who would like to purchase a home, but need assistance in doing so, have helpful options they can turn to. Likewise, there are mortgage assistance programs for felons who may be facing foreclosure and want to be able to save their home. The programs that are in place will help make it easier for felons to own a home, even if they have a low income or experience difficult financial times.
Whether you want to purchase a home or you would like to keep your home, but are having difficulty paying the mortgage, you have options. There are programs around the country that will provide felons with mortgage assistance. Every program has different qualification requirements, so be sure to evaluate their policy carefully to see if you qualify.
Mortgage Assistance Programs for Felons
Housing and Urban Development (HUD) – HUD is an important federal group to be aware of if you need help with your mortgage. They have mortgage assistance programs that felons can turn to. The programs are designed to both help felons avoid foreclosure, as well as be able to purchase a home. To qualify for assistance, you have to have a low income and be a citizen or legal alien. HUD also offers programs to help felons avoid foreclosure. The HUD programs are all federally funded and often administered through local housing authorities around the country. To learn more about the mortgage assistance programs offered through HUD, click here.
FHA Loans – Federal Housing Administration (FHA) is a federally funded group that will insure loans for felons. By insuring your mortgage loan, the lender feels more comfortable lending you the money. They know that if something happens and you are unable to pay, FHA will step in so they don’t take a big loss. FHA mortgage loans make it easier for felons to be able to purchase a home. Since they insure the loan, you will end up having a lower down payment, lower closing costs, a more affordable interest rate, and it will be easier for you to qualify for the loan. If you are purchasing your first home, your down payment may be as little as 3.5% of the price of the home. To learn more about FHA loans for felons, click here.
Mobile Home Purchase Assistance – FHA offers a special mortgage assistance programs for felons who want to buy a mobile home or manufactured home. They offer assistance for mobile homes that are within mobile home parks and for those that are not. To get more information, click here.
Local Mortgage Assistance Programs – There are local mortgage assistance programs for felons around the country. These programs each have different options available to help felons with purchasing a home. To find a program in your local area, click here.
Mortgage Counseling Services – There are HUD approved mortgage counseling services that will help felons with their mortgage needs. They will assess your current situation and help you determine the best route to take to be able to get a mortgage. The mortgage counseling is offered through such government backed agencies as Fannie Mae, Financial Counseling Associates of America, and the National Foundation for Credit Counseling. To get more information on these mortgage counseling services, click here.
Habitat for Humanity – This organization helps felons become homeowners. Through the help of others in the program, you will work on the building of your home. You are part of the entire process of building the home through owning it completely. Along the way they help you learn more about how to get a mortgage, maintain the home, and more. To qualify for a Habitat for Humanity home, you have to show that you have a need for the assistance, you have to agree to partner with them to help build the home, and you have to be willing to pay an affordable mortgage. To get more information about how the program works and how to apply, click here.
USDA Rural Development – This government program provides home purchasing assistants for felons who have a low income. The programs provide a subsidy to help felons be able to afford the mortgage to purchase a home. There are some qualifications that need to be met for this program, including that the home you want to purchase has to be less than 2,000 square feet, it cannot have an in-ground pool, not have a market value more than the loan limit, and it cannot be designed for income producing activities. To learn more about the USDA Rural Development mortgage assistance programs for felons, click here.
In addition to the above mortgage assistance programs for felons, check with your local banks and credit unions to see what options they offer. Some of these financial institutions offer mortgage assistance programs. The more places you inquire with, the more likely you are to find the assistance you need.
