Hope for Homeowners is a NEW FHA program scheduled to be available October 1st!

The Hope program runs from October 1st, 2008 until September 30th, 2011.

The program is designed for homeowners who are current or behind on their mortgage and can document that they are/will be unable to afford the payment.

Details:

1. The mortgagor must occupy the property as a primary residence

2. The mortgagor must have been originated before Jan. 1st 2008

3. The mortgagor must certify that it has not intentionally defaulted on the debt

4. The mortgagor must have a DTI (debt to income) greater than 31%

5. The new mortgage must be determined to be payable by the mortgagor and not exceed 90% of the appraised value.

6. The lender must waive all penalties related to prepayment and fees related to default or delinquency.

7. The refinancing must include extinguishment of all leins on the property thus requiring the participation of all lien holders.

8. The refinanced mortgage must be a fixed rate product with a minimum of 30 years.

9. The mortgagor may not add a second mortgage within the first 5 years of the loan unless the Hope Board determines that a second is required to maintain the property.  In that case the CLTV will be capped at 95%.

10. The mortgagors income must be verified with the 2 previous years tax returns.

11. The mortgagor must not have been convicted of fraud within the past 10-year period.

How can you apply?

1.  Homeowners can go to their preferred FHA approved mortgage lenders (That's Us).

Michael Shotnik

Direct Mortgage Banker

Summit Home Mortgage

 mshotnik@summit-mortgage.com

 303-800-4595