Have you been affected by Hurricane Harvey and are wondering what to do about your mortgage? At Sente Mortgage, we want to provide as much information and as many resources as possible to get the answers you need. Let’s explore each of these situations in order to offer some basic guidance and robust resources to get help quickly.
I HAVE A MORTGAGE AND I DON’T KNOW WHAT TO DO
The aftermath of Hurricane Harvey has left people in a variety of situations – some have damaged homes, some have undamaged homes, some homes have been completely destroyed, some people had flood insurance and some didn’t. Regardless of your specific situation, there are a few key steps that you need to take to ensure that you end up in the best possible situation for you and your family.
STEP 1: CONTACT YOUR MORTGAGE SERVICER
Regardless of the state of your home or your ability to continue to pay your mortgage, it is important that you contact your mortgage servicer. Your mortgage servicer is the company where you send your mortgage payments.
If you are financially impacted and are unable to temporarily pay your mortgage, it is even more important that you contact the servicer of your loan. If you stop paying your mortgage without talking to them, they might charge you late fees and/or report the non-payment to your credit profile. Also, your servicer can determine whether or not to waive late fees or provide mortgage forbearance that means no payments or partial payments for a period of time.
If your home was damaged or destroyed you are still committed to payment of the loan, so contacting your mortgage servicer is a critical step to ensure that you determine your best options. In any case, let the servicer know where to contact you in the interim.
STEP 2: REGISTER FOR DISASTER ASSISTANCE
The next step is to register for disaster assistance regardless of whether you have insurance or not. You can do this via the following link:
In addition, FEMA and the Red Cross have collaborated on a booklet that should have answers to most of your key questions:
STEP 3: CALL YOUR INSURANCE COMPANY
Once you have talked to your servicer and registered for disaster assistance, it is important to contact your insurance company. Specifically, contact your homeowners insurance agent and your flood insurance agent (if you have a flood policy). They will be able to tell you what is covered. Some policies cover alternative living expenses.
Homeowners insurance usually covers losses caused by wind, storms or broken water pipes but not surface flooding. Flood insurance covers most losses caused by surface floodwater. Wind and hail insurance cover losses in coastal areas from the winds of a hurricane.
The Mortgage Banker Association (MBA) has provided a complete guide to help those in need. Please download for more information.
If you have questions, please schedule a call now.