Stop Foreclosure: Mortgage Refinance
Mortgage Refinance and Stop Foreclosure
The best way for any homeowner to avoid foreclosure is to refinance their mortgage loan and stop foreclosure. Though a mortgage refinance is often in the Homeowners best interest and option to avoid or stop foreclosure it is often the hardest or most difficult of all foreclosure alternatives or methods of foreclosure prevention to obtain. The reason for this is fairly straight forward; homeowners who need to stop foreclosure are usually in some sort of financial distress and not prime lending material in the eyes of lenders.
Often Government sponsored programs are the best opportunities for homeowners to obtain a mortgage refinance and stop foreclosure. Here are just a few programs available to Homeowners.
Hope For Homeowners
The Hope For Homeowners Program is a FHA sponsored and insured mortgage refinance program created to help Homeowners avoid foreclosure and lower mortgage payments to an affordable level by refinancing into a 30 or 40 year fixed rate mortgage.
Before you get your hopes up however the program has not performed very well despite the hype in the media.
The reason for this is because of the strict processing rules, principal reduction requirements, as well as equity sharing mandates that homeowners must agree to.
The program was developed by President George W. back in 2008. But because of the lack of success president Obama has engineered an add on program that modifies some of the requirements to make it more flexible. This program is called “Helping Families Save Homes” However this program though a solid effort to restore any hope of functionality to the failure of the original program has yielded little success in terms of homeowner help and assistance.
If you would like to learn more about the Hope For Homeowners program I suggest taking a look at the FHA website of which I am unfamiliar with or the Making Home Affordable Plan website which I am familiar with and would recommend as it is made specifically to appeal to the typical American Homeowner and has been given significant resources to develop as a marketing tool for the Making Home Affordable Plan which is President Obama’s Homeowner help plan that has truly realized some level of success that is worth mentioning. You can find that website @ http://www.makinghomeaffordable.gov/
I do not know if you will be able to find much information on the Hope For Homeowners Mortgage Refinance Program simply because it is not much of a performer.
Making Home Affordable Mortgage Refinance – HARP
The Obama Administration created the Making Home Affordable Plan which has many programs that allow homeowners to stop foreclosure. Though there are many foreclosure prevention programs that make up this housing assistance plan the two main parts are the Modification and Refinance portions of the program.
Though the Home Affordable Modification Program known as HAMP is much more successful than the Home Affordable Refinance Program known as HARP if you are looking for a refinance solution then you should take a look at the refinance assistance program specifically. There are a few requirements that you must meet to apply for HARP assistance but if you do meet the basic qualifications for HARP the Home Affordable Refinance Program then it could be a huge financial break for you. It is well worth a look
Making Home Affordable Mortgage Refinance is available to Homeowners who can not afford their current mortgage payments or their upcoming mortgage payments that will increase due to a mortgage reset. Homeowners must have a Freddie or Fannie mortgage to obtain a mortgage refinance through the Making Home Affordable Mortgage Refinance Program.
A loan modification will allow you to lower your mortgage payments and stop any foreclosure sale that is now scheduled to take place. You should be able to obtain a restructured mortgage that allows you to make home affordable.