Financial Planner talks about variable housing rates, life insurance

Dear Rick:

I have several financial problems that I hope you can help me with. My first story is that a few years ago when I bought my house, I originally thought I would live in the house for a few years and so, I got a mortgage.

My goals changed and I plan to stay indoors for a lot longer than I expected. As a result, my mortgage has changed and my value has skyrocketed, and I don’t know what to do. I can’t afford the new payment. What options do I have?

My next question is about my life insurance. I have a 10 year plan that is growing. When I went to buy a new policy for 10 years, the price was too high. I don’t know if I still need this plan, but I want your opinion. I have no dependents, but I have two grown children who live alone.

Thank you, Julie

Dear Julie:

The first thing I would recommend about your home is to contact a real estate agent. There may be another program you qualify for that may be beneficial to you.

In addition, I also look into the Michigan Homeowner Assistance Fund. The program was established as a result of the American Rescue Plan Act of 2021. The program is to help homeowners who are experiencing financial difficulties due to the coronavirus. Under the program, if your family’s income is less than 150 percent of your income, the property is your primary home, and if your financial hardship was caused by COVID-19 on or before January 21, 2020, you may be eligible for up to $25,000 in assistance from the program. For more information about this program, you can contact them at 1-844-756-4423.