COVID-19 Foreclosure Avoidance Program in Nevada

In response to the ongoing coronavirus crisis in this country, some states, like Nevada, have implemented foreclosure avoidance programs to help homeowners.

By , Attorney

Home Means Nevada, Inc., a state-affiliated nonprofit organization, has launched a COVID-19 response initiative to help financially distressed homeowners in Nevada. This initiative promotes home retention for Nevada residents struggling to make mortgage payments due to the coronavirus outbreak.

And, if you're unable to get mortgage relief through this program, Nevada also offers mediation to most homeowners in foreclosure. Home Means Nevada handles some aspects of the state's foreclosure mediation program, too.

COVID-19 Response Initiative for Nevada Homeowners Facing Foreclosure

Home Means Nevada's The Homeowner Connect (THOC) system offers help to homeowners online. This new web-based portal makes it easier for consumers to seek relief under various COVID-19 assistance programs by providing access to forbearances and other federal relief initiatives. With this system, homeowners don't have to call their mortgage servicer (and experience long hold times) to get access to relief programs, like a forbearance.

So, if you're struggling to make your mortgage payments—or think you soon will—because of the coronavirus crisis, you can use this website through your computer or handheld device, for free, to communicate with your participating servicer. Through the THOC portal, you can upload the required data and documents to apply for foreclosure alternatives. Your servicer will be able to communicate with you and send you paperwork through the portal as well. According to the Home Means Nevada website, the site uses the highest level of cyber security to protect your personal information.

The program also offers immediate chat assistance from HUD-approved housing counselors, and standards of conduct for responsiveness and transparency from your mortgage servicer. If your servicer doesn't participate in this program, a HUD-approved housing counselor can help you reach your servicer.

How Foreclosure Mediation Works

If you don't qualify for relief through THOC, and foreclosure begins, most Nevada homeowners have the right to participate in foreclosure mediation. Under Nevada law, borrowers in foreclosure get the option to attend mediation if the property is owner-occupied. (Nev. Rev. Stat. § 107.086).

In foreclosure mediation, the homeowner and bank (or servicer) meet with an impartial mediator to discuss the borrower's financial situation and explore options to avoid a foreclosure such as a modification, short sale, deed in lieu of foreclosure, repayment plan, or something else. Attending foreclosure mediation doesn't ensure that you'll avoid losing your home to a foreclosure, but it might increase your chances of working something out.

Getting More Foreclosure Help

If you have questions about the foreclosure process in Nevada, want to learn about potential defenses to a foreclosure, or need someone to represent your interests during foreclosure mediation, consider talking to a foreclosure lawyer.

Effective date: May 20, 2020