sapan | Uncategorized | June 14th, 2010 Comments Off
In reality the home values have reduced so significantly that the newest Obama mortgage plan allows borrowers to refinance their mortgage up to 125% of the property’s present worth. The 125 loan plan aims to refinance borrowers into lower mortgage payments.
HAMP Loan Modification Qualifications:
The Home Affordable Refinance Program permits a homeowner to refinance their current mortgage as long as the home is used for primary residency. The homeowner must be existing 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.