subject: Obama Mortgage assistance With the Home Affordable Refinance Program [print this page] Obama Mortgage assistance With the Home Affordable Refinance Program
In fact the home values have depreciated so significantly that the latest Obama mortgage plan enables borrowers to refinance their mortgage up to 125% of the property's present value.The 125 loan plan aims to refinance borrowers into lower mortgage payments.
Home Affordable Refinance Loan Qualifications: The Home Affordable Refinance Program allows a homeowner to refinance their current mortgage as long as the home is used for primary residency. The homeowner must be current with their existing mortgage and the mortgage must be insured by one of the mortgage companies that are backed by the government .The home must have been purchased before or on January 1, 2010 to qualify. The home's value must also have dropped causing the homeowner to not be able to refinance using conventional loans.
There is a vast group of Americans that owe more on their mortgage than their house value is worth after real estate values dropped. Another group of Americans are not "upside down" in their mortgage, but they cannot refinance conventionally because refinancing 80% of the home's current value does not allow them to even pay off the existing mortgage.
The Home loan modification may finally be the solution that many Americans have been looking for. Past government refinance plans like Hope for Homeowners and Federal Home Affordable Secure were unable to help the average borrower refinance because they could not qualify due to lending program glitches.Home refinance may still be a good fit for borrowers who have credit scores below,but the borrower must be able to display compensating factors. Like conventional and FHA mortgage loans, pay stubs are required, and borrowers must be able to document that they have the ability to afford the new loan payments.
USLOANZ suggests comparing quotes from conforming and Federal Home Affordable lenders who specialize in government relief and Home Affordable Refinance Program.
