New Administration wants to slow foreclosures with Loan Modifications
I’m sure you have heard it on the news. The new administration has brought some help to homeowners having trouble paying the mortgage on their home. They have created a new program where some homeowners can modify the terms of their current mortgage or refinance altogether. This is where you are not delinquent on your mortgage payments, but are having a hard time making the payments, or you want to refinance, but can’t because the value of your home has fallen below your current mortgage balance.
The kicker is, you have to have a loan backed by Fannie Mae or Freddie Mac, which means this program will eliminate some of you from modifying your loan or refinancing under this program. Also, you have to participate in this program before June 2010 when the program expires.
You can get the lowdown on this program at http://www.makinghomeaffordable.gov. There’s also information there to help you determine in you have a Fannie or Freddie loan. If your loan is not of this type and you still have questions, give me a call.
Filed under: Mortgage and Lending by Dwight's Real Estate Update