A roof above one’s head is a basic necessity. There would be very few people in the world who would not like to own a house. It is a dream they strive to attain. To buy their dream home, most people take out mortgages. The financial depression the world over suffered not too far in the recent past and the increased prices of everything are making it difficult for people to pay their mortgages off. To save people in such situations, the Obama government has come out with the government mortgage help plan. It is a part of the Making Homes Affordable Program. The program aims at enabling those who are unable to meet their mortgage payments restructure their loans or get home refinance. With this, they are able to meet their mortgages and keep their homes.

The government had to do something about this because the problem was becoming very serious. So, President Obama came out with his Making Home Affordable program to ease the burden of homeowners a little bit. The government mortgage help plan aims to make mortgage repayments affordable for all these people. There are two distinct components in this mortgage help plan – Home Affordable Refinance and Home Affordable Modification.

The Obama Mortgage Rescue Plan 2011 is not for everyone. There are some eligibility criteria that need to be fulfilled for the plan to be applicable. One criterion is the loan payment to income ratio. If more than 37 percent of the income of the household is being used to pay the loan, the mortgagee is eligible for getting help under the mortgage help plan. Another criterion is the kind of hardship the person might be in. This includes the loss of a job or the death of the major financial contributor, etc. Yet another criterion is the drop in the value of the home to such levels that the total debt is more than the value of the home. Other than this, the plan insists that the home owner’s primary address in the mortgaged house and the mortgage should have existed before 2009.

A buyer with 2 loans, a first and a second lien may qualify if the amount due on the first mortgage is no more than 105% of the property value with the new homeowner affordability and stability plan. Your eligibility will be based on if the 2ND lien holder is willing to stay in 2ND place and assuming that you meet the eligibility requirements for the 1St loan. The goal of the plan is to help credit worthy borrowers who have been committed to paying their mortgages with affordable payments for the rest of their loan. Individuals with high interest, or if they had a teaser rate that will now be increasing might see a big difference in their house payment if they were to refinance. For those submitting a loan application, they will get a “Good Faith Estimate” which will include their new mortgage payment amount, the interest rate, and the total payment over the life of the loan. That homeowner can now use that “Good Faith Estimate” to compare it with what they are paying now and if it makes sense they can go with that option or stick with their original mortgage.

The government mortgage help plan is thus a ray of hope for homeowners who are at the brink of losing their dream.

Learn more about Obama Mortgage Relief Plan Qualifications.

Obama Mortgage Rescue Plan 2011: Facts About Government Mortgage Help Plan is a post from: Florida Mortgage Team

You may be able to take advantage of a government home rescue program that will give you a mortgage rate modification of 2%. Obama has implemented a very aggressive loan workout plan that is designed to help homeowners facing a financial hardship and at risk of defaulting on their home loan. There are millions of American’s who may be able to get the relief they need using this bailout program.

Home Affordable Modification has standard guidelines and a pre-determined process for application and approval. Once you know this basic information, you will be able to complete your application so that it has the best chance of approval. This means that you should work on your loan modification forms before you call your bank and make any adjustments so that you fit into those guidelines.

Obama’s rescue plan is called Home Affordable Modification. It is funded by $75 billion in stimulus money-this is paid for with your tax dollars, so do not hesitate to find out if you qualify and use this program to help you stay in your home. Here are the basics of the plan and what it takes to qualify and apply.

Mortgages that are worth more than the homes market value are also eligible for refinancing. Typically a homeowner would need 20% equity in their home, or the cash difference to get approved for a refinancing. Now though, this plan from Obama allows homeowners a chance to refinance even if they owe more than the homes value.

This Obama Mortgage Rescue Plan 2011 will help millions of homeowners who refinance or get a home loan modification. Mortgage refinancing and modification have been extremely popular options for homeowners looking to save money, or their home. Take advantage of the low interest rates, and this Government plan, and apply for a mortgage modification or refinance today.

Learn more about Obama Mortgage Relief Plan Qualifications.

Obama Mortgage Rescue Plan 2011: Use This Government Program is a post from: Florida Mortgage Team

If you have tried to refinance your home since the market values on homes have dropped, you have probably figured out that you have lost equity. Most lenders always require 20% equity in a home to do a refinance. If you originally had 20% equity in a home, and it dropped significantly in value, you have lost equity. Obama’s Refinance Plan was set up for people just like you. Through this refinance program, you can refinance even if you owe up to 105% of the value of the home.

First and foremost, it is important to remember that the money being raised is borrowed cash and will have to be repaid over time. While interest rates are still historically low, even modest interest will add to the amount borrowed, requiring more money to be repaid than was originally raised. Equally important is the fact that it is your home that is being used as collateral against the loan. If your circumstances change and you cannot afford to make the higher payments brought about as a result of the refinance plan, your home will be put at risk of being taken away from you.

The overall stability of the economy in general and your local housing market in particular must also be considered before committing to a refinance. If the value of your property should decrease, your ability to sell it for the amount owed may be adversely impacted. This lesson became painfully clear to homeowners in many parts of the United States over the past few years when the housing bubble collapsed and millions of people found their mortgages “upside down” (they owed more to the bank than their houses were worth on the open market).

If you don’t qualify for this because you are in default on your loan, you might qualify for a federal loan modification. These are completely reworked loans for people nearing foreclosure. Their home loan is totally restructure, even sometimes the length of the loan is lengthened to 40 years.

You should investigate whether you might qualify for Obama’s refinance plan. You may never have a similar opportunity.

Learn more about Obama Mortgage Relief Plan Qualifications.

Refinance Plan: When Does a Cash Out Mortgage Refinance Plan Make Sense? is a post from: Florida Mortgage Team

There are a lot of Americans that want to keep their house, but are unsure if they actually can with the recession going on. Are you one of them? There is a plan in operation worth more then $75 Billion that could mean a lot of Americans homes could be saved from foreclosure.

Fact: Foreclosure has been staved off in over 4 million cases as the government has helped home owners with property loans that have meant an easier way to pay bills and less chance of foreclosure. Fact: The plan set in place by the Obama government will help with the home loans as they eliminate almost all the fear of going into foreclosure at a short term notice.

Fact: Due to the believe Obama mortgage plan 2009 and his cabinet have in this program they are giving $1000 per home to banks that are willing to help out in these difficult times. Thanks to this program many people are able to live life the way they did a few years ago without having to fear for foreclosure and with bread on the table to eat. Within this plan is an article that also reduces home payments with up to $1000 per annum for up to 5 years.

Fact: The plan has a fixed payment limit. This limit is set at 38% of your monthly income. That is the maximum that could be charged for your mortgage payments. This will mean there will be enough left aside for food and other essentials in life.

Many American companies are offering the services of their lawyers for free to help out with this plan. It is a massive rally to keep homes in ownership by the people who worked hard for them and there is a lot of free information available guiding you through the process of applying for this plan.

Learn more about Obama Mortgage Relief Plan Qualifications.

Obama Mortgage Plan 2009: President Obama’s Stimulus Plan Helps You Modify Your Mortgage Fast is a post from: Florida Mortgage Team

Under the $75 Billion on the Obama mortgage plan 2009 and Stimulus Package, President Obama has come up with a way to assist millions of American homeowners in being able to avoid foreclosure and bankruptcy, while providing banks with $1,000 incentives each time they assist homeowners in completing a modification on their loans.

Here’s how to know if you are eligible and what to do if you are: Research the many options surrounding grants, loans, and tax credits available to homeowners in need. Unfortunately, the lenders are not always up front about what you may qualify for, so it is up to you to prepare ahead of time and know what you are applying for when you submit your application.

Depending on your level of debt, you may qualify for a personal loan in order to repay your debts and free up your income so that you can continue to afford your mortgage payments again. If you have lost out on much of your home’s market value, that no longer hinders you from being able to refinance – you don’t have to have at least 20% equity to qualify. With the new guidelines, you are eligible if what you owe on your mortgage is over 105% of your home’s current market price.

Some of these are Neighbor Works America, Acorn, the Neighborhood Assistance Corporation of America, Catholic Charities, the Urban League, etc. They are all paid by the federal government in order to run the programs for the help of home owners in trouble. Actually these non profit organizations sign a contract with hundreds of other counseling services in the country to negotiate the new loan terms and to counsel the borrowers on the over all household budgeting.

The first time home buyers stimulus has fixed the income limitations of the buyer which is a very good sign so the less privileged class will get the benefit of the stimulus plan.

Learn more about Obama Mortgage Relief Plan Qualifications.

Obama Mortgage Plan 2009: Obama’s Home Stimulus Package is a post from: Florida Mortgage Team

Homeowners who are not eligible to get a mortgage refinancing through the Governments making homes affordable refinance plan will find that it is tougher to get than they thought. Mortgage refinancing requires a number of different income, debt, credit, employment, and other verifications. A mortgage lender or bank can deny a homeowner for any of these following reasons:

The Homeowners Credit Score or Rating- Homeowners with a credit score which is too low, mortgage lenders or banks will most likely deny your application for mortgage refinancing. The best thing you can do if you are in this situation is try to explain your financial problems to your lender, and convince them that you have a plan to get your finances back on track, and save your home. If all else fails, you should look into a sub prime mortgage lender. These lenders are generally avoided unless all other options have been explored due to their high interest rates, and sometimes excessive closing costs.

The Homeowners Income- Especially these days, mortgage lenders and banks will throughly be checking to verify all income. If a mortgage lender or bank has any questions or concerns about your income which you can not answer, you may be denied a mortgage refinance.
Incomplete or Inaccurate Documentation- If you are unable to provide, accurately fill in, or completely fill out the paperwork needed for a mortgage refinancing, you will be quickly denied. This is probably the most common reason a homeowner with decent credit gets denied.

If you find yourself unable to make a Bank of America Loan Modification work for you, you have some help available. Ask your representative if you can utilize the Home Affordable Foreclosure Alternatives program. As a participating lender, Bank of America is required to refer you to that assistance before foreclosure.

By getting approved for a home loan modification it may just be the exact item you need to get your monthly mortgage payment to an affordable level and keep your home you worked so hard for. After all, a home mortgage was possibly the largest financial choice you had to make so it is only logical to not let it easily pass you by and mess up your financial aspirations.

Learn more about Obama Mortgage Relief Plan Qualifications.

Making Homes Affordable Refinance: Home Loan Modification and Making Homes Affordable is a post from: Florida Mortgage Team

Getting a bank loan modification could be the solution you need to stay in your home, especially if you fall in that middle ground where you can’t qualify for a refinance and don’t meet the standards for the federal programs under the new Making Homes Affordable Refinance Plan. A bank loan modification may not afford the same payment reductions and tax breaks that one under the federal program would but it could very well keep you in your home.

First you need to know who insures your loan. This is not something that people commonly know, usually you don’t even need to access this information, so don’t stress if you don’t have this information immediately. All you need to do is phone Chase Bank and ask. You are in luck if it turns out your insurer is Freddie Mac or Fannie Mae. A $75 billion government loan modification program has recently been developed for those with Fannie and Freddie loans that is meant to help homeowners survive this recession by modifying their monthly payments so they are reduced to just 31% of gross monthly income.

Of course, there is the recently adopted plan from President Obama called Making Homes Affordable Refinance, and maybe you’ve even received a letter in the mail from your bank explaining that you qualify. You need to read the fine print and go over every little detail with your lender. Some people have noted that even if you are eligible and you haven’t missed any payments, there’s a chance your bank will report you as late to the credit bureaus, and your mortgage credit score will start to drop, and some of them have experienced knocks of 120 points or more, which is enough to send you one or two full credit categories down and perhaps cause your other creditors to slash your limits and raise your interest rates.

If you are not insured through Fannie Mae or Freddie Mac, there is still hope. Chase Bank still offers modifications. It won’t be as good as the making homes affordable refinance plan since there is no government funding, but it is still better than foreclosure both for you and for your credit rating. Applicants must still be living in the home they own, and must be holders of a fist mortgage that has not been refinanced or modified earlier. The monthly payments, since government help is not a factor here, may be in the range of 31% to 40% of your monthly income before taxes. If you do meet these requirements, you will have to submit whatever paperwork Chase Bank requests. This will include a hardship letter, all financial records, your pay stubs and your tax returns.

If you are facing foreclosure due to an inability to pay your mortgage, check out Chase Bank home loan modification. If your income and loan fall into the eligible range, you might find you can modify your loan and reduce your monthly payment to something you can afford.

Learn more about Obama Mortgage Relief Plan Qualifications.

Making Homes Affordable Refinance: Will it Affect Your Credit Rating? is a post from: Florida Mortgage Team

The struggling borrowers are running around to find out the best method to save their home. The Obama federal loan modification has turned to be a great relief to people under great financial trouble. The plan came up with an intention to offer relief to around five million borrowers in the country. By this time, these defaulters might have applied for the federal loan modification program.

Here are some common events that would justify a mortgage refinance: Mortgage refinance rates have dropped significantly. You can no longer afford your mortgage payment. You have a need for cash and you have equity in your home (i.e., cash out refinance). You want to dramatically alter the terms of your mortgage (for example, moving from a 30 year loan to a 15 year loan). You are going through a divorce or some other situation which dramatically changes your financial landscape. Several years ago when the housing market was booming people were refinancing there homes more frequently than what is generally seen. Mortgage rates were dropping quickly and homeowners were jumping on the opportunity to lower their interest rate and save money.

When to Refinance- Obama refinance worked a bit differently in the past. It was said that one should wait to refinance their mortgage until they can lower their rate by at least 2%. However in today’s world it is recommended to refinance whenever the rates drop lower than your current rate. Two reasons why this no longer applies. Biggest reason this no longer applies is that the rates back in the 1980s were much lower than they are today. Refinancing from 7% to 6% is equivalent to refinancing from 14% to 12%. When refinancing you must make sure that the cost of refinancing is worth the end savings.

If you are considering a mortgage refinance it is imperative that you make your decision based on the whole picture and not just the interest rate and payment that you can get. You need to consider how long you want to stay in your house. If you believe that you will only be in your home for another year or two then the monthly savings you gain from your refinance will have to be very high in order to offset the fees that you will incur on your new loan transaction. You also need to be very careful if you are considering an adjustable rate mortgage (ARM). If you are getting an ARM you need to fully understand when your interest rate will adjust and what index your rate is tied to. NEVER sign mortgage documents if you are even slightly confused by any of the major terms of the loan such as when the rate will adjust and what your rate is based on.

Knowing when to refinance if never a for sure thing. Are interest rates as low as they are going to get? No one knows for sure so it can be a bit intimidating but with some patience and with a little research refinancing should be a helpful tool not a harmful one. Know what you are doing and make sure those benefits outweigh the cost of refinancing. Refinancing can be the answer that you have been looking for to get stable again.

Learn more about Obama Mortgage Relief Plan Qualifications.

Obama Refinance: Introduction to Obama’s Federal Loan Modification is a post from: Florida Mortgage Team

President Barack Obama mortgage plan 2009 came into effect from Wednesday 4th March 2009. This is a lifeline for approximately 9 million US borrowers who have been plunged into debt and may even face the possibility of losing their home. The Modification of Mortgage plans are up and running and below are some of the most frequently asked questions:

The values of homes are dropping, and homeowners facing financial hardships such as loss of job, loss of income, hospital bills,, bad mortgages, or other bad debts, can now use Obamas plan. There is over $75 billion in funding for this plan, most of which will be given to mortgage lenders and banks who approve “at risk” homeowners.

This will allow homeowners who have been previously denied, or think they wont be approved, a stronger chance at getting approval for a mortgage refinance or modification. Here are some other requirements of this plan from President Obama: The mortgage must have a balance of $729,500, or less, remaining on it. The home loan must have been closed on and signed on prior to January 1st 2009.

Homes which have lost 15% or more in value can now use this plan from Obama and get a new, lower, more affordable, monthly home loan. The home to be modified or refinanced must be lived in as a primary residence by the actual mortgage holder. Fannie Mae and Freddie Mac backed mortgages are now automatically eligible for a home loan modification using the terms set by Obama in his “Making Home Affordable” plan.

Getting a much more affordable mortgage through refinancing or mortgage modification has never been easier for homeowners. This plan from Obama will help millions of homeowners save a lot of money, or even their home from foreclosure. Homeowners can easily take advantage of this plan and take advantage of extremely low interest rates, all while staying in their home. Homeowners should take a little time and look into getting a new mortgage through President Obamas “Making Home Affordable” plan.

Learn more about Obama Mortgage Relief Plan Qualifications.

Obama Mortgage Plan 2009: Mortgage Refinance Stimulus Plan 2009 is a post from: Florida Mortgage Team

Are you struggling to make your monthly mortgage payment? Has your home loan interest rate increased? Are you looking to get a more affordable mortgage? If so, then President Obama home mortgage refinance plan is perfect for you. With this plan homeowners can get interest rates reduced to as low as 2% through refinancing or mortgage modification. Here is what you need to know:

This is a $75 billion Government backed housing plan which will allow struggling homeowners a chance to get refinancing or mortgage modification into a new home loan which is more affordable. Homeowners everywhere are facing financial hardships, and this plan allows millions of those people the chance to save a lot of money, or their home.

$75 billion in funds are available primarily to give to mortgage lenders and banks who approve struggling, or at risk, homeowners. This money will cover all closing costs, and some of the risk assumed by the lender for refinancing borrowers at risk of losing their home, or facing financial hardships. Homeowners with a mortgage from Fannie Mae or Freddie Mac can get a home loan modification into a monthly home loan payment which does not exceed 31% of their monthly income.

There is no reason to pay any fees or other costs when taking advantage of this plan, and homeowners should stay away from a lender or bank attempting to charge you to use this “Making Home Affordable” plan. The lenders and banks will be paid, through cash incentives from the Government for every homeowner who is at risk they approve. After all, odds are you are in a financial hardship right now and how would you be able to pay thousands of dollars in closing costs and fees? If you could you probably would not be in the financial situation you are in now. The Government will handle all and any fees related to refinancing or mortgage modification using this plan.

Homeowners are flocking to take advantage of Obamas $75 billion “Making Home Affordable” plan and getting themselves into new, more affordable, fixed rate 2% home loans through refinancing or mortgage modification. You should at least do yourself a favor and take a little time and see how much you could save by using this plan to your advantage. You may be able to save hundreds a month, or much more importantly your home from being foreclosed on.

Learn more about Obama Mortgage Relief Plan Qualifications.

Obama Home Mortgage Refinance Plan: Mortgage Rates by Refinancing With Obama’s Stimulus Plan is a post from: Florida Mortgage Team