Obama: Make Home Affordable Refinance (2 of 3)
The Make Home Affordable Plan that has been issued by Obama is off to what seems like a solid start. But only will time will tell as the craziness and economic turmoil unfolds. Here we explain the Obama refinance program known as HARP.
This is the 2nd article of the series of three that will explore the details of the program. This article is focused on the Refinance side of the program.
Many Homeowners who can not help but to be weary of the economy due to the monumental coverage in the media are becoming more and more prone to taking action early on and being proactive. These homeowners who are not yet in default but are faced with a looming mortgage reset or perhaps a balloon payment, or maybe even a job loss or loss of income and money due to some sort of financial hardship, these homeowners naturally want to refinance into some sort of mortgage that will be sustainable.
However these Homeowners have been met with a harsh dose of economic reality. there home is no longer worth what it was and there Credit score perhaps at no fault of there own has dropped due to credit card debt ratio’s that have been made less attractive from credit card companies slashing accounts and or limits of credit for economic reasons leaving individuals with the consequences, and the mortgage problems leading to more debt problems and lower credit scores. However the Obama administration has come up with a solution to this scenario.
Obama’s housing stability plan known as the Make Home Affordable Refinance Program or the Making home Affordable Refinance program, is designed to let these very homeowners easily obtain a mortgage refinance solution that comes with an ultra low interest rate that is fixed for thirty years. The make home Affordable Refinance program is helping literally millions of homeowners, or at least the potential for that sort of aid does exist. But there is of course a catch, there are some requirements that the Homeowner must meet to qualify for this program. These qualifications are listed below.
- Must have Freddie or Fannie backed mortgage
- Home value must be equal or more then mortgage balance
- Must be current on mortgage
- Current mortgage payment must be unaffordable
Be sure to check back next week for the third and final post of this series on the Obama Make Home Affordable plan. the next post will be dedicated to the loan modification side of this mortgage help program.