If you have an ARM, or adjustable rate mortgage, your loan payments are going to go up when the mortgage rates adjust on your mortgage, either 3 year 5 year or 10 year intervals. When the prices on the mortgage go up, it’s often very difficult for homeowners to continue to make payments on their home and you can easily lose your home.

Payment Deferment Is An Option

The only way to change your mortgage is to refinance, but if you can’t refinance the mortgage, you can use deferment as a way to save money and hopefully be able to pay off future mortgage payments. You need to be in perfect payment history, with no late payments for the bank to consider you for deferment. What you want to do is call your bank and ask for a deferment. Every bank has a deferment department. You can call 10 times and get 9 no’s you just need 1 to say yes.

HUD Assistance For Refinancing

HUD is working on something, but you have to understand this isn’t HUDs problem. They didn’t insure your loan. All they could do is refinance it as well. They are working on it, but don’t expect it to be anytime soon. They are trying to make it soon but its the government. They are trying to set it up so FHA could refinance these loans. They are already in talks to do this. Everybody is hoping sooner then later. Here is an article that explains what HUD and the Government are working on doing. You will just have to hang on as long as you can.

Miss Your Payment

The truth is that they won’t do anything until you get behind. You will have to miss payments before they will even talk to you. Seems stupid but that’s the way it is. You can write a hardship letter explaining why you cannot pay but you would have to have a good reason, usually medical reasons work well. This is a last resort and is not generally advised, but if you are out of answers, this is a last trick you can use to keep the leverage on your side and hopefully refinance your mortgage.

So if you have an ARM and are afraid you can’t refinance, there are some tips you can use to help you out while the lender gets its act together.