Homeowner help · North Carolina

Having trouble with your mortgage? Start here.

Missing a payment does not mean every option is gone—but waiting can reduce the choices available. Contact your mortgage servicer and a free housing counselor as soon as you expect a problem.

NC foreclosure counseling: 888-442-8188 Find a HUD-approved counselor ↗

The first decision

Is the goal to stay in the home—or leave it responsibly?

Begin with the homeowner’s goal, current income, total monthly obligations, equity, property condition, written deadlines, and whether the hardship is temporary or permanent. The servicer decides which mortgage-assistance programs are available. A counselor can help organize the application and evaluate the choices.

Do these first

Five steps that protect time and information.

01
Open every letter and notice.
Save envelopes, emails, portal messages, certified mail, and court documents. Write down every stated deadline.
02
Call the mortgage servicer.
Use the number on the mortgage statement and ask for loss mitigation, mortgage assistance, or home retention.
03
Request the complete application.
Ask what documents are required, where to submit them, how completion will be confirmed, and how to check status.
04
Contact a free housing counselor.
North Carolina’s State Home Foreclosure Prevention Project connects homeowners with participating HUD-approved agencies.
05
Get legal help when time is short.
If a hearing, power-of-sale notice, lawsuit, or sale date exists, ask a North Carolina attorney what must happen before the deadline.

Options that may help you stay

Ask the servicer which programs apply to your loan.

These are common categories, not promises of approval. Get every offer in writing and compare the new payment, total cost, deferred balance, reporting, and future due dates.

Reinstatement

Pay the total past-due amount and permitted charges in one payment.

When it may fit

May fit when funds are available now and the servicer confirms the exact reinstatement amount and deadline.

Repayment plan

Add part of the past-due amount to regular monthly payments for an agreed period.

When it may fit

May fit when income has recovered enough to support the regular payment plus an additional amount.

Forbearance

Temporarily reduce or pause payments under a written servicer plan.

When it may fit

May create breathing room during a temporary hardship, but missed amounts are not automatically forgiven. Ask what happens when the plan ends.

Payment deferral

Move certain past-due amounts to a non-interest-bearing balance typically due later, such as at sale, refinance, payoff, or maturity.

When it may fit

Availability and terms depend on the loan, investor, insurer, servicer, and current program rules.

Loan modification

Permanently change one or more loan terms to create a new payment arrangement.

When it may fit

The servicer reviews eligibility and may require a complete application or trial plan. Ask how principal, interest, term, escrow, and total cost change.

Refinance

Replace the current mortgage with a new loan.

When it may fit

May be possible before the situation advances, but qualification, equity, credit, income, rate, costs, and timing matter.

Options that may help you leave

Understand equity, approvals, debt, and timing before choosing.

A sale should be compared with the mortgage-assistance options—not assumed to be the only answer. A CMA and estimated net sheet can clarify whether a traditional sale appears possible, but the servicer, attorney, tax professional, and housing counselor address their respective parts.

Traditional sale

Sell the property and use proceeds to pay the mortgage, liens, and transaction costs.

Important questions

If sufficient equity and time exist, the homeowner generally keeps remaining proceeds after obligations and closing costs are paid.

Short sale

Request approval to sell for less than the total debt secured by the property.

Important questions

The servicer and other lienholders must approve. Ask in writing about timing, relocation help, taxes, credit reporting, and whether any remaining debt is waived.

Deed in lieu of foreclosure

Voluntarily transfer ownership to the lender or servicer under an approved agreement.

Important questions

Approval is not automatic. Other liens, property condition, occupancy, taxes, credit, and treatment of remaining debt may affect eligibility.

Prepare for the call

Gather the financial picture once.

Keep copies of everything submitted. Note the date, delivery method, confirmation number, and the next promised response.

Mortgage statement and loan number
Servicer’s loss-mitigation or home-retention phone number
A short written explanation of the hardship
Recent income, benefit, unemployment, or business-income records
Monthly household expenses and bank statements
All letters, emails, notices, court papers, and stated deadlines
The date and name of every person you speak with

Protect the homeowner

Foreclosure-relief scams often sound urgent and official.

Be cautious if anyone demands an upfront fee, guarantees a modification or foreclosure stop, tells you to stop paying the servicer, asks you to send payments elsewhere, pressures you to sign unread documents, or asks you to transfer title. Free help is available through the servicer and HUD-approved counselors.

Review CFPB scam warnings ↗

Where Yer can help

If selling becomes part of the plan, begin with facts—not pressure.

Yer can prepare a comparative market analysis, estimate likely selling costs and net proceeds, discuss condition and timing, and build a marketing plan. She does not approve mortgage relief, give legal or tax advice, or promise that listing the property will stop foreclosure activity.

Estimate potential net proceeds Request a confidential seller conversation

Free and official help

Use trusted sources.

NC Foreclosure Prevention ProjectFree statewide counseling · 888-442-8188 ↗HUD-approved housing counselingFind an agency · 800-569-4287 ↗CFPB Mortgage HelpServicer help, counselors, and complaints ↗

Last reviewed: August 24, 2026. General education only. Programs and eligibility vary by loan, servicer, investor, insurer, hardship, property, and date.