The Obama administration kicked off a new program today that is designed to help up to 9 million borrowers stay in their homes through refianced mortgages or loans that are modified to lower monthly payments. Some of the details are outlined below:
- Homeowner’s must provide their most recent tax return and two pay stubs, as well as an affadavit of financial hardship to qualify for the loan modification program
- The program is scheduled to run through 2012
- You can only utilize this program once and only applies to loans made on January 1, 2009 or earlier.
- Single family homes worth more than $729,750 are excluded
- Separately borrowers who have mortgages held by Fannie Mae and Freddie Mac should be eligible to refinance through June 2010.
- House Democrats narrowed legislation that gives bankruptcy judges the power to force lenders to lower the interest rate or principal balance of mortgages for troubled homeowners. Judges would now have to consider whether a homeowner had been offered a reasonable deal by the bank to rework his or her home loan before seeking help in bankruptcy court. Borrowers will have to prove that they tried to modify their mortgages. This is expected to come to vote in the House as early as Thursday, stay tuned
If you are a victim of the massive layoffs, this may help you stay in your home. Consult your lender for more information. If you are looking to move, it is a great time to move up, downsize or just relocate!
Kim Carpenter “Kimsellsindy.com” – Geist/Indianapolis Real Estate Agent
Keller Williams Realty Indy Metro NE
Geist/Indianapolis IN Real Estate Website
317-509-4000