To Refinance a Mortgage Learn About Obama’s Mortgage Stimulus Plan Versus “Hope For Homeowners”

Must Read

Student Loan Consolidation Information – Where To Look for Help

As part of any research when looking at your student loan consolidation information alternatives you need to examine where...

Student Loan Consolidation Interest Rate Guide

Education, as important as it is, costs money and unfortunately these days, good education often means more money spent....

Second Mortgage Loans Are Cool for Debt Consolidation and Cash Out

With the refinance boom officially over, second mortgage loans are cooler than ever. Many homeowners have been blessed with...

Free Government Debt Consolidation Loans – If You Owe More Than $10,000 Read This!

With the economy lingering in its current state, it is not surprising that many Americans are staggering under the...

The Components of the Mobile Client Application

Figure 1 shows the main components that comprise the Tailspin Surveys client application. The developers at Tailspin built three key...

Canon 7D Composing People and Portraits

When photographing people it can be easy to get carried away with focusing on their expressions and checking your...

Obama has signed off on a new mortgage stimulus plan that should in theory give millions of homeowners the opportunity to refinance their mortgages at a lower rate with options to fix the mortgage at the new lower rate.The ‘HOPE for homeowners program’ is a program introduced by George Bush which looks at mortgage refinance for lenders that are in difficulty and are struggling to make their repayments but have sufficient income to meet the payments on a new loan insured by HUD’s Federal Housing Administration also known as FHA.This program clearly pre-dates Obama but is being revisited in order to better meet the current circumstances surrounding home ownership, this program should not be confused with the ‘Making Home Affordable Program’ that has different rules and criteria to the ‘HOPE for homeowners program’ and until legislation has been passed that aligns the 2 programs you need to be aware of the differences.So what does this program currently offer:

a 30 year fixed rate mortgage
the possibility of refinancing to more affordable payments
voluntary basis for both the lender and the borrower

home must be your only house and primary residence
your mortgage pre-dates 1st January,2008
can’t make existing mortgage payments without help
from March 2008 your total monthly payments have been more than 31% of your gross monthly earnings
You have not been convicted of fraud in the last ten years, deliberately defaulted on debts and haven’t obtained a mortgage by deceptive means.
Must maintain a fully documented record of income and employment.
must be prepared to agree to positive equity sharing both current and future
If you take this option you will not be able to take out a 2nd mortgage under the program for the first 5 years of the loan and you will have to agree to share the value of the positive equity, both current and any future increases for your home on a sliding scale over 5 years, after 5 years the amount of your share in the positive equity is 50% which is the most you can attain. This may sound a lot but versus losing your home it is probably a better option.To be eligible for the ‘make home affordable’ program:

you need to own and occupy a 1 – 4 unit home
you need to be up to date on your mortgage repayments
You must have a mortgage with or securitized by Freddie Mac or Fannie Mae
The mortgage amount can be no more than 105% of the house value
It is immediately apparent that the requirements for the make home affordable program appear to be less stringent than the ‘HOPE for homeowners’ program and you do not have to commit any of the equity of your home this program.


Please enter your comment!
Please enter your name here

Latest News

Digital Marketing for Beginners

Digital marketing for starter, Let to basic learning about connecting with your audience in the right place...

What are 7 things poor people do that the rich don’t?

1. poor people watch TV in which people read books how many hours you spend in front of the TV and when...

Top 18 best small business ideas for beginners starting

A small business can be frightening and requires plenty of careful planning there are many small business ideas which can be beneficial...

Summer that makes you happy

We saw were already here I've been thinking about some of the things. I used to do with my husband even though...

4 Point to helpful tips specifically for caregivers

What you need to take a vacation. I know it sounds impossible creative and try to make it work for you almost...

More Articles Like This