Take advantage of the Obama administration's refinance program continuing for another year.
The Federal Housing Finance Agency announced Monday that the Home Affordable Refinance Program will now run another year. Scheduled to end on June 10, it will now be available for one year longer with a new expiration date of June 30, 2011. This refinance program, set up by the Obama administration as part of the Making Home Affordable Program, is for borrowers who owe up to 25% more than their homes are worth. The refinance program lets borrowers who have paid their mortgages on time refinance to a lower interest rate to avoid potential foreclosure in the future.
Currently, about 220,000 homeowners have refinanced their home with this program letting them save long-term dollars on their mortgage payments. The program was set up with the intention of helping 4 to 5 million homeowners. Are you one of the millions still to be helped by this program?
Eligibility for the refinance program is based on the following criteria:
- You must be the owner of a one- to four-unit home.
- Loan must be a owned or backed by Freddie Mac or Fannie Mae.
- No more than 30 days late on your mortgage payment in the past 12 months.
- First mortgage does not exceed 125% of the current market value of your home. For example you owe $125,000, but your current home value is $100,000.
Contact your lender to determine if your loan is Freddie Mac or Fannie Mae. Discuss the refinance program with your lender to make sure you qualify and to find out the steps necessary to refinance.
Financial help in the form of refinancing may be just around the corner. Remember, though, that mortgage scams are common these days, so be wary of any third party that promises to help you.
Photo Credit: TheTruthAbout… on www.Flickr.com
August 18th, 2010 at 8:09 am
What about those that have a loan that’s upside down, but is Not a Fannie Mae or Freddie Mac??? Are we just screwed???