How the FHA Partial Claim Option Can Save Homeowners from Foreclosure

If you’re a homeowner facing foreclosure, you may be feeling overwhelmed and unsure of what to do. Fortunately, the Federal Housing Administration (FHA) offers a partial claim option that can help borrowers struggling to repay their mortgages. This program is designed to provide up to 25 percent of the unpaid principal balance on the mortgage, plus interest and escrow advances, directly to the lender in order to reduce the borrower’s monthly payment and bring their loan current. Understanding how this program works and its benefits can help you keep your home and get back on track with your financial goals.

Overview of FHA Partial Claim Option

The FHA Partial Claim Option allows for up to 25 percent of a borrower’s unpaid balance along with interest and escrow payments, to be paid directly by the FHA. The amount advanced will be determined based on an evaluation of the borrower’s financial circumstances and repayment ability. Borrowers must submit an application along with supporting documents such as proof of income, probate documents (if applicable), bank statements, etc., in order to qualify for this program. Once approved they have up to 5 years (or longer depending on the situation) before additional penalties or fees are assessed by their lender.

Benefits of Using this Program

This program offers several advantages for homeowners who are facing foreclosure and need a way out without taking out additional loans or second mortgages. Utilizing this program can help avoid foreclosure altogether, as well as potentially reducing overall mortgage debt when factoring in interest savings over time and eliminating late fees that may have accrued due to non-payment of loan installments. Additionally, this option provides some much-needed breathing room for homeowners who are experiencing hardship due to economic downturns or unexpected life changes like job loss or illness that have impacted their ability to keep up with payments.


Anytime someone considers taking out a loan there will be risks involved including incurring additional debt through rising interest rates during the repayment period if not paid back within a specified timeframe – which could lead to more late fees or even foreclosure if not addressed promptly at all times. Therefore it is important for any potential applicant to gauge all aspects carefully before opting into this program in order to ensure successful completion without further damages being incurred upon themselves or their credit scores as well.


In conclusion, the FHA Partial Claim Option is a powerful tool that can help homeowners who are facing foreclosure to get back on track with their mortgage payments and avoid further financial damage. This program offers an opportunity for borrowers to bring their loan current without taking on additional debt while also providing some relief from economic hardship caused by unexpected life changes. The Offer Company stands ready to assist homeowners in successfully completing this program with no cost or obligation – don’t wait any longer, contact us today at 602-448-7377 to learn how we can help you.

The Offer Company
(602) 448-7377

Don’t wait until it’s too late – visit our How to Save Your Home from Foreclosure page for the help and guidance you need.

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