Banks' New Plan for Relief
The Details They've Released
Hopefully by now all of you are updated on the Obama’s newest bailout plan for homeowners underwater because of their bank loan. Some home owners have also been put into an interesting position because of the consistently dropping home prices. This could be the right time to refinance!
I read an article this morning in CNN Money and it shed some light on the subject. The article is titled “Underwater owners get promise of help” and was written by Ryan Derousseau.
These banks have decided to help those home owners underwater: Bank ofAmerica, Wells Fargo, J.P. Morgan Chase and Ally. They have pledged themselves to at least $3 billion worth of refinancing for “customers current on underwater mortgages still held by the banks”. However, even after their agreement to assist, these banks have made it difficult to find who might qualify for this help. Promises for publication have been made and requirements for this assistance will be released shortly.
A requirement that has been released states that you may refinance if your “mortgage rate is at least 5.25%, the balance exceeds 100% of the home’s value, the principal is less than $730,000 and you closed before January 1, 2009.”
Mortgages that are held by either Fannie Mae or Freddie Mac might also “qualify for federal HARP refinancing sped up by streamlined underwriting”. The good news about this good news is that Fannie Mae and Freddie Mac are not the only ones moving forward with this. A similar deal with almost ten other banks is in negotiation.
For the entire article on this subject click this link.
As a Realtor but also a Co-Owner of a Mortgage company, this is helpful information to use with referral partners and pass along to potential/current clients if it could be of any help.
Lynn Tardibuono – Flipper Chick- Real Estate Agent and Co-Owner of Sun Pacific Mortgage and Real Estate. Serving Sonoma County since 1988. Her number is (707)523-2099 and you can also visit our redesigned website at http://www.sunpacmortgage.com Also be sure to like us on facebook! Click this link.