President Obama is urging homeowners everywhere to save their home, and get a more affordable mortgage by using his “Making Home Affordable” plan. This mortgage bailout plan is designed to help the homeowners everywhere who are facing foreclosure, or soon will be because they can barely afford their mortgage payments. Here are some incentives President Obama’s plan gives to homeowners but What Is The Obama Mortgage Plan ?
What Is The Obama Mortgage Plan ? That this $75 billion plan from the Government will allow a homeowners who would have never been approved before, the chance for mortgage refinancing or home loan modification. This is because most of the money will be used to give to mortgage lenders and banks to minimize their risks.
Homeowners who have missed payments and are at risk of defaulting will still need to pay them, they are just rolled into the loans total amount. Homeowners who owe more on their home loan than the homes market value. Many homeowners bought a home when the market was booming. Also, a lot of people got into an ARM loan thinking that the value of their house would increase, and they could refinance later.
The value of homes have dropped dramatically recently because of the struggling economy. Those homeowners who have watched their homes value drop by 15% or more will be able to refinance their home into a 4.5% fixed mortgage rate. This is done in hopes to help homeowners during the recent housing market crash.
A home is usually the most expensive thing a person will ever own in their life. Take the correct steps to make sure you do not lose it. Mortgage refinancing and modification have never been easier to get. The benefits from a successful refinancing can mean hundreds of dollars in savings every single month. Take action now and save your home.
Learn more about Obama Mortgage Relief Plan Qualifications.