Loan modifications under Obamas plan should be "smooth sailing" by now. So why are we hearing about so many problems population run into when applying to whether refinance or modify their mortgage? What does it for real take to succeed? Here are 4 qualifications which could help you get a new home loan under Obamas Make Home Affordable (Mha) plan.
Qualification #1: Hardship
Have you experienced a financial hardship which caused you to fall behind on your mortgage payments? If so, you're an ideal candidate for the Obama Administrations Mha plan. Here are just a few of the types of hardship which could help you qualify for a victorious loan modification:
- job loss
- cut back in hours or pay (e.g., from Ft to Pt)
- job relocation
- business failure
- medical hardship
- a circumstance which caused a loss of ready funds which you expect to be temporary
- any legitimate circumstance that's depleting your funds, e.g., divorce, death, imprisonment, - even prestige cards bills, and more
Qualification #2: Your Home Has Dropped In Value
3.3 trillion dollars worth of home value has vanished into thin air since last year (according to Zillow, Feb 3, 2009). If you're among them here's how you may qualify for help under the Mha Mortgage Refinancing Option.
You should be able to refinance your loan and advantage from this if:
- the loan to value ratio of your home has climbed to over 80%, and
- your prestige is good and
- you've been faithfully production your payments over the past year
You can advantage from today's lower interest rates, or, convert an adjustable rate mortgage (Arm) into a more carport one, such as a 30 year fixed rate loan. whether way, you could end up saving thousands of dollars.
Caution .. I'd confirm I was truly going to save and come out ahead in the new transaction by using a mortgage calculator before production any commitments! Because we've been hearing staggering stories of population sometimes being worse off after a refinance than before.
Qualification #3: Origination Date
To be eligible to apply for whether a refinanced loan or loan modification under the Mha Program, the traditional loan had to create before January 1, 2009.
It's also good to know when the schedule is scheduled to expire and you can no longer apply.
A loan modification must be applied for and popular ,favorite by Dec. 31, 2012, and can only be done one time, which means if you leave the schedule for any theorize you are ineligible to reapply. A refinance must be completed sooner -- the schedule for it will end in June of 2010.
Qualification #4: Adjustable Rate Mortgages
In our current climate of economic uncertainty and suspected predatory lending it's somewhat easy to qualify for a refinance or loan modification for population with an Arm that's about to cause their monthly payment to 'balloon'.
While there are additional circumstances which decide eligibility for relief under the Mha program, these are 4 tasteless qualifications effecting large numbers of people.
Can You Qualify For Obama's Home Loan Modification and Refinance Plan?