Housing Plan: Can You Benefit?
Housing Plan Reduce Mortgage Payment
Many of homeowners have questions regarding the President Barack Obama’s Housing Plan. A lot of Americans are in various stages of foreclosure and the help can not come soon enough. So who is eligible?
The program is expected to help those who are in danger of not making their monthly payments. The applicants do not have to be behind, but may be asked to demonstrate that they may be short on making their monthly payments. The program’s eligibility is determined by whether the monthly mortgage payment is above 31% of applicant’s gross income. Jumbo loans (the loans over $417,000) are not eligible and neither are second mortgages.
The lenders and loan servicers are encouraged to participate in the program by receiving subsidies and various incentives from the government but are not otherwise required to participate. Servicers receive $1000 per loan modification and will continue receiving $1000 each year for three years if the borrower continues being current on the loan.
Watch an interview with Early Show’s financial adviser Ray Martin, who answers some of the questions.
Housing Plan HASP
- Making Home Affordable: Program's Loan-To-Value Limit May Soon Change The "Making Home Affordable" program introduced by the Obama administrationis may soon change to allow higher LTV (Loan-To-Value) ratios which in turn will open the program to more borrowers, particularly those with upside-down mortgages (mortgages where loan amount signifficantly exceeds the property value due to falling home prices). The program......
- Explaining the Obama Loan Modification in Simple Terms By default, most people are optimists. We all like to think that if our government creates a policy in a time of a crisis we can all depend on it to fix the problem at hand. The Obama administration has moved very quickly to address the housing problems that we......
- A Guide to Mortgage Debt Relief Tax When it comes to taxes, there are so many different numbers and bits and pieces of information that you need to be aware of, that it is no wonder we find them so confusing. There are very few people in the world today who are not at least a little......
- It's Time for Some Personal Budget Planning Tips Personal budget planning is an important part of keeping a handle on your finances. Because there is so much turmoil in today's economy, maintaining a healthy personal budget is more vital than ever. Crafting a personal budget begins with determining how money comes in, and how money goes out, but......
- Is a Reverse Mortgage Right for You? This is a guest post from Francine Huff, a freelance journalist and the author of The 25-Day Money Makeover for Women. She has appeared on a variety of TV and radio shows. Visit her web sites Huff Writes and Super Savvy Spender. Whether through recent news articles or over the......
- 10 Easy Ways to Go Broke With so much financial information readily available telling us how to make more money or the nonstop investment advice telling us how to get rich quick, it's quite obvious that many of us invest too much time and brainpower trying to get our money to make more money instead......
Tags: 
Okay I understand about the home loan modification to help struggling homeowners and that it does not apply for a second mortgage. But can and will it be possible to help with the first mortgage which is where the stuggle is with the homeowner? In other words is it possible to obtain the loan modification even though a homeowner has a second mortgage?
I await you reply, and thank you.