Obama Enacts New Plans For Increased Mortgage Relief

February 1, 2012 by  
Filed under Short Sale/Loan Modification Blog

On Wednesday, President Obama released details of a new housing proposal aimed at helping millions of homeowners lower their monthly mortgage payments.  The new $5 billion to $10 billion dollar plan will enact a streamlined refinancing program for homeowners who are current on their payments.  The new housing plan also calls for easier access to simple mortgage disclosure forms as well as homeowner protection from wrongful foreclosure.

The new plan, which must still be approved by congress, would also administer simpler refinancing plan for homeowners whose mortgages are owned by banks or possessed by investors.  To be eligible, however, homeowners must be up to date on their payments for the past six months and hold a credit score of 580 or higher.  The program will not be applicable to jumbo loans nor loans greater than the Federal Housing Administration’s loan limits.

House Speaker John A. Boehner is among those who feel that the plan, like many other Obama relief plans, will ultimately fail.  Regardless, the plan isn’t close to a cure all for the housing market nor will it save every underwater homeowner.  Like other proposals, some relief will be found for those in mild debt, but there is still no answer for those who are completely upside down on their mortgage payments.  The solution for underwater homeowners is still the same: Inquire about a short sale.  Short sales occur when a homeowner sells the property for less then when he owes.  Homeowners must get the bank’s consent before the sale, as well as word that they will forgive the deficiency on the sale.  Short sales are a great option because there’s less paperwork, less hassle, and nobody needs to declare bankruptcy or take the time and energy to foreclose.  For more information on short sales, contact Housing Assist of America today

Comments

2 Comments on "Obama Enacts New Plans For Increased Mortgage Relief"

  1. Gilbert on Wed, 12th Mar 2014 4:58 am 

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    благодарствую!…

  2. max on Fri, 14th Nov 2014 8:46 am 

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    thanks for information….

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