Super Slo-Mo Mortgage Modifications
by Super J
Previous presidents wagged the dog, Obama wags the finger. Will shame from The White House save homeowners from foreclosure?
Months into The President's Making Homes Affordable Plan and lenders have been called onto the carpet, again. A recent review was posted this week, another big reveal – lenders are slacking. Completed mortgage modifications are less than 10% of eligible borrowers.
Now anywhere else in the real world of business where a company was given billions of dollars and only produced a 10% result would have the CEO slapped silly. Moreover, it would be just down right unacceptable and no one would have the nerve to consider those numbers as any type of success. It would be deemed failure, and further expected to make an immediate change in operations to correctly improve the ratios. That would be that.
Try doing 10% of your work and see how many more paychecks you get. Would things change for you at your job? The bubble that exists in this bizarre style business of operations is difficult to fathom for most American workers and business owners.
However, this is the land of molten money production and bailout bonanzas. The new sheriff in town gives a stern verbal request that doubles as a political talking point. Supposedly, a dose of The Presidential lashout and lenders will perk up to take notice of what their proper duty to the cause is...is. Dysfunctional lenders will take the lickins because... well, what else are they going to do? The volume is more than their collective coffers can handle while exercising their banking practiced terms of endearment for bewildered borrowers.
Hey, Bankers and Lenders...why not hire more people? I am sure that with the record layoffs and highest unemployment numbers that you would find people that are capable. No, they will not higher more help. Why do that when it is acceptable for them to function at this level of poor quality.
By the way, Bank of American...your tired ol' line of "our system is down" and that is why you cannot answer questions about a homeowner's mortgage loan modification in process does not fly in this decade. Or, HSBC telling their customers that "they do not do loan modifications" is ridiculous. It was no surprise to see that Litton was slacking with modifications. Even customers that pay on time, Litton loses the payments! Then, terror dials them to collect on payments that have already been paid. If the public knew the truth, I am convinced that it would move up the date of the impending revolt.
And, borrowers are delusional. Hey, the last time that they filled out this much paperwork was when they got their last mortgage loan. And, according to most homeowners – they were duped back then too. Unless a lender is willing to reduce their principle balance... well, nothing is good enough until they owe next to nothing. It is surprising the number of people that insist on keeping their credit cards and fictional fico scores while letting their mortgage payments default.
The lack of response to Hurricane Katrina stranded victims while enraging this nation. We watched as people were in extreme danger due to the rising waters. Truth be told, a new Katrina happens everyday to foreclosed homeowners. Financial waters are rising, and drowning everyone in it's path.
Lack of mortgage modifications goes beyond the lenders dropping the ball in customer service. It's the equivalent of FEMA watching and waiting for the order to go help. Right now, the current foreclosure collateral damage is like a 9/11 in every city all across the country. It's just unacceptable.
Denial has reached maximum saturation everywhere else. No matter how good of a mop job, the water is dirty. It's time to dump it all down the drain. The White House, Wall Street and Media mavens cling to the next tiny blip from The Economy's EKG. According to the administration, we are on track for 2012. Even if it's in a comatose state and lacking brain activity.
So, I ask again - Will shame from The White House save your home from foreclosure? Perhaps the only house in America that will never be in jeopardy of foreclosure is The White House. Well, not yet anyway.
Friday, August 7, 2009
Thursday, August 6, 2009
Cash For Clunkers Program Starts To Stall Out And Lose Mileage
The Cash For Clunkers Program Starts To Stall Out And Lose Mileage
by SuperJ
The fuel injected push to spare the environment from being polluted, turned into an overnight sensation to ramp up for auto retail purchases. However, over the last few days it seems that it is now losing it's steam. Considering that The Cash For Clunkers Program has been walking a tightrope for the last week or so. The hype came from a Fast & Furious style turbo boost. It's only a matter of time before it will crash and burn.
As it's written, the law will benefit few car buyers and those who might actually benefit from it probably shouldn't be buying a new car to begin with. Is this really the right time to take on more debt? A small change in gas mileage is a weak measure to swap efficiency for another new payment in your budget.
If you are driving an old, inefficient “beater”... you probably are doing so out of necessity. The government is already having trouble funding the program, consider how it will in turn effect you while trying to afford the new car payment and increased insurance coverage costs.
This is comparable to the housing and credit boom when people bought and extended themselves more than they could afford. As one industry analyst stated, “ Whenever there are discounts, people put the blinders on.”
Today's new rules call for the skill to think past the rebate. It's always a good idea to save the environment by reducing pollution. However, you need to consider your own financial environment at the same time when making purchases of any kind.
I will offer you my own story... last year I bought “my Baby Buick”. Yes, she was $850 the hard way. The hood and top were a paint chipping, fading shadow of her 1985 glory days. She came with free a/c in the winter and endless heat in the summer. Odd noises, clicks and squeaks could only be drowned out with the radio blaring from the one good speaker that refused to crackle like the other three. Like a daily game of chance, a random power window would not go up. The gas mileage was a complete waste to calculate. It was just easier to accept her as the fuel addict that she was, regardless of my feeble attempts to pour magic elixirs in her tank. However, she was easy on my financial budget. No monthly car payments and my insurance was a tiny fractional expense.
My point here is: Instead of The Cash For Clunkers Program rebate, a.k.a. trade-in-value per previous auto transaction, why not consider going for a slight upgrade? Go from your “beater” to “a little better”? Now, more than ever there will be plenty of used stock selections.
Recently, I took my own advice. When “my Baby Buick” took her final gasp and finished with the automobile death rattle while leaving me abandoned on the side of the road. As I waited for the tow truck, with my hand leaning on her hood, I called my used car dealer friend. Two hours later, I was driving “my better 1994 Cutlass” that was a/c challenged – however, she was slightly more fuel efficient and ready to roll.
by SuperJ
The fuel injected push to spare the environment from being polluted, turned into an overnight sensation to ramp up for auto retail purchases. However, over the last few days it seems that it is now losing it's steam. Considering that The Cash For Clunkers Program has been walking a tightrope for the last week or so. The hype came from a Fast & Furious style turbo boost. It's only a matter of time before it will crash and burn.
As it's written, the law will benefit few car buyers and those who might actually benefit from it probably shouldn't be buying a new car to begin with. Is this really the right time to take on more debt? A small change in gas mileage is a weak measure to swap efficiency for another new payment in your budget.
If you are driving an old, inefficient “beater”... you probably are doing so out of necessity. The government is already having trouble funding the program, consider how it will in turn effect you while trying to afford the new car payment and increased insurance coverage costs.
This is comparable to the housing and credit boom when people bought and extended themselves more than they could afford. As one industry analyst stated, “ Whenever there are discounts, people put the blinders on.”
Today's new rules call for the skill to think past the rebate. It's always a good idea to save the environment by reducing pollution. However, you need to consider your own financial environment at the same time when making purchases of any kind.
I will offer you my own story... last year I bought “my Baby Buick”. Yes, she was $850 the hard way. The hood and top were a paint chipping, fading shadow of her 1985 glory days. She came with free a/c in the winter and endless heat in the summer. Odd noises, clicks and squeaks could only be drowned out with the radio blaring from the one good speaker that refused to crackle like the other three. Like a daily game of chance, a random power window would not go up. The gas mileage was a complete waste to calculate. It was just easier to accept her as the fuel addict that she was, regardless of my feeble attempts to pour magic elixirs in her tank. However, she was easy on my financial budget. No monthly car payments and my insurance was a tiny fractional expense.
My point here is: Instead of The Cash For Clunkers Program rebate, a.k.a. trade-in-value per previous auto transaction, why not consider going for a slight upgrade? Go from your “beater” to “a little better”? Now, more than ever there will be plenty of used stock selections.
Recently, I took my own advice. When “my Baby Buick” took her final gasp and finished with the automobile death rattle while leaving me abandoned on the side of the road. As I waited for the tow truck, with my hand leaning on her hood, I called my used car dealer friend. Two hours later, I was driving “my better 1994 Cutlass” that was a/c challenged – however, she was slightly more fuel efficient and ready to roll.
Tuesday, March 10, 2009
700 People Cannot Wait To Scrub Toilets at Ohio School, Huh?!!!
Yes, you read it correctly, according to a news story...
Ohio School gets 700 applicants for one full time janitorial job that pays $16/hr.
Oh, Yeah! Woo-hoo! Have you seen high school students lately, and would you want to clean up after them? And, worse...would you want to make $16/hr? If so, why??????????????????????
I think that this news story has ticked me off more than just about any other garbage that I have read about the economy and financial crisis. The fact that 700 people out there think that this position is a job opportunity for them. Really? Full-time cleaning toilets for $16/hr?
And, the way that one applicant said that she hoped that luck was on her side so that she could get the job... Honey, if "luck is on your side" you will learn something else and get paid for the freedom to work for yourself. If you miss cleaning toilets... Clean your own in your lovely home! And, because your work for yourself...you can do so whenever you want.
Janitorial Job vs. Working For Yourself:
1. Janitor: Work full time
Work for yourself: Work full time if you choose
2. Janitor: Make $16/hr
Work for yourself: Make whatever you want
3. Janitor: Clean up after others
Work for yourself: Clean up making money from others offering quality goods or services
4. Janitor: Physically demanding job
Work for yourself: Make your own demands and enjoy your schedule
5. Janitor: Always Answer to someone else
Work for yourself: WORK FOR YOURSELF
Ohio School gets 700 applicants for one full time janitorial job that pays $16/hr.
Oh, Yeah! Woo-hoo! Have you seen high school students lately, and would you want to clean up after them? And, worse...would you want to make $16/hr? If so, why??????????????????????
I think that this news story has ticked me off more than just about any other garbage that I have read about the economy and financial crisis. The fact that 700 people out there think that this position is a job opportunity for them. Really? Full-time cleaning toilets for $16/hr?
And, the way that one applicant said that she hoped that luck was on her side so that she could get the job... Honey, if "luck is on your side" you will learn something else and get paid for the freedom to work for yourself. If you miss cleaning toilets... Clean your own in your lovely home! And, because your work for yourself...you can do so whenever you want.
Janitorial Job vs. Working For Yourself:
1. Janitor: Work full time
Work for yourself: Work full time if you choose
2. Janitor: Make $16/hr
Work for yourself: Make whatever you want
3. Janitor: Clean up after others
Work for yourself: Clean up making money from others offering quality goods or services
4. Janitor: Physically demanding job
Work for yourself: Make your own demands and enjoy your schedule
5. Janitor: Always Answer to someone else
Work for yourself: WORK FOR YOURSELF
The Proof Is In A Personal Sustainable Economy! http://www.pionomics.com/
Sunday, March 8, 2009
3 Reasons Why Goverment Aid Bailouts Will Kill You
It starts with The 3 Bad H's -
1. Hopeless - It validates that you have run out of options. You doubt your future. And, the your need will come back again.
2. Helpless - It confirms that you are pitiful. Someone needs to rescue you. If you are even worthy of their help. After you get the help, you are hooked.
3. Heartless - It convinces you that your need is more dire than others. You come before everyone else because your suffering is greater.
The results are that a New Government Aid Bailout Junkie is now born... get ready to be needy.
Scientists recently released a study of optimists and pessimists. And, guess what? Optimists live longer! Yes, they really do. What and how we think actually has a direct effect on our longevity. This is important information because one of the key areas that we have control and access is in what we think. How we perceive our world around us is a result of what is going through our minds.
Most people get caught in a big net of pessimism due to the news of layoffs, down markets, and economic woes because that is the only information that their brains will accept. They cannot get past the problems because they are stuck in The 3 Bad H's - Hopeless, Helpless and Heartless. It becomes the perpetual cycle and predicts everyday in the same needy tone. You become The Great Needy Dependant. This is a gloom monster and your health suffers. You get sick and die faster. It's really that simple.
Here is the flip side:
The 3 Good H's That Will Make You Optimistic And Help You Live Longer-
1. Hope - You are open to new opportunities. You take a wider look of the life landscape and see what new ventures are on the horizon. Your own business maybe? What new innovations in the areas of income, energy and investing will better serve you? Spend time visiting sites like http://www.pionomics.com/ and review the information that is available.
2. Help - You may be in need of some help. Get it in ways that do not beholden you to the government. Can you do something in exchange for what you are in need of? Are there ways to adjust your expenses?
3. Heart - You must always remember that there is someone suffering greater than you. Put your experience in perspective. It's not as bad as you think. Get your plan together, and stabilize. Next, see where you can help others.
Live longer... by visiting www.pionomics.com for information on creating your own energy, making an income and other ways to live your personal sustainable economy. Optimists and pessimists are all welcome!
1. Hopeless - It validates that you have run out of options. You doubt your future. And, the your need will come back again.
2. Helpless - It confirms that you are pitiful. Someone needs to rescue you. If you are even worthy of their help. After you get the help, you are hooked.
3. Heartless - It convinces you that your need is more dire than others. You come before everyone else because your suffering is greater.
The results are that a New Government Aid Bailout Junkie is now born... get ready to be needy.
Scientists recently released a study of optimists and pessimists. And, guess what? Optimists live longer! Yes, they really do. What and how we think actually has a direct effect on our longevity. This is important information because one of the key areas that we have control and access is in what we think. How we perceive our world around us is a result of what is going through our minds.
Most people get caught in a big net of pessimism due to the news of layoffs, down markets, and economic woes because that is the only information that their brains will accept. They cannot get past the problems because they are stuck in The 3 Bad H's - Hopeless, Helpless and Heartless. It becomes the perpetual cycle and predicts everyday in the same needy tone. You become The Great Needy Dependant. This is a gloom monster and your health suffers. You get sick and die faster. It's really that simple.
Here is the flip side:
The 3 Good H's That Will Make You Optimistic And Help You Live Longer-
1. Hope - You are open to new opportunities. You take a wider look of the life landscape and see what new ventures are on the horizon. Your own business maybe? What new innovations in the areas of income, energy and investing will better serve you? Spend time visiting sites like http://www.pionomics.com/ and review the information that is available.
2. Help - You may be in need of some help. Get it in ways that do not beholden you to the government. Can you do something in exchange for what you are in need of? Are there ways to adjust your expenses?
3. Heart - You must always remember that there is someone suffering greater than you. Put your experience in perspective. It's not as bad as you think. Get your plan together, and stabilize. Next, see where you can help others.
Live longer... by visiting www.pionomics.com for information on creating your own energy, making an income and other ways to live your personal sustainable economy. Optimists and pessimists are all welcome!
Saturday, March 7, 2009
5 Tips To Help You Steer Clear Of The Unemployment Line
Breaking News from every news hack -
Unemployment is up this week...again...No kidding, Skippy.
And, if you are getting visions of standing in unemployment lines dancing in your head as a possible solution for you, well you better get another plan. Gone are the days of coasting into an unemployment office with a weekly quota of job searches in exchange for your check.
Oh, heck what am I saying... I know nothing of getting a dime of unemployment. It always seemed too ridiculous to me. As with any government aid, all that work just seemed silly. I would rather have my own income, instead of a caseworker and a report to turn in. So, those few that I have known that experienced the other worldly phenomenon commonly referred to as unemployment benefits, apparently it used to be a simple gig. Well, folks...those days are so over! Here is the scoop: The News is going to amp the unemployment percentages to its usual hyper-hemophilia blood letting. The Economy is hemorrhaging faster than the transfusion. Panic, Panic, Panic...Drama, Drama, Drama...Everyone will be out of work by next week. Yes, I said it - Next Week! 100% percent unemployment! Oh, wait a minute... that would actually be great! No one has a job, no one pays taxes - the government flatlines_____________________!
Ok, enough of that pipe dream.
Back to business -
5 Tips To Help You Steer Clear Of The Unemployment Line:
1. Cut your costs. And, be realistic about it. Yes, the ugly b-word/Budget. The majority of people spend most of their income on roof-over-head, fuel and food. Home, utilities, feeding the belly and gasoline for the autos. I know someone right now that went from a $4500 per month house payment to a $2000 per month rental. Guess what? They cannot afford the rental either. Well, like most home zombies.... they could not get it through their undead brains that when you are broke, you gotta really get cheap. And, this does not mean that the standard of living or quality of life changes. This means finding something to live in that is safe and that you can afford easily. Yes, 6 bedroom/4 bath houses are lovely. Not when they become your tomb and you are sailing the Mental Mediterranean River of Denial. It is silly and stupid to stay stuck. So, cut those costs and have some liquidity. Get real right now!
2. Work for yourself. You never get into an unemployment line because you work for yourself. So, you work and make money in your own business of goods or services that others pay you for on a regular basis. And, every dollar that you make, is one less that that can be taken from your pay. The buck comes to you, so therefore you get first dibs. So, when the layoffs whisper to the corporate bottom feeders waiting for the next bailout, you are able to keep your stuff in order. By the way, I never wanted to work for big companies. I tried the corporate route several times, and hated it. Power lunch this, memo that, meetings about meetings and who needs so many damn managers? YUCK! Corporations are so creepy to me. They are akin to a really bad '60s commune except there are power suits and way too much coffee.
3. Invest in what YOU know. That means get advice and check it out. Invest in items that are not debt based paper like the stock market. Only invest in things that you understand completely and can explain to someone else in less than 7 minutes. If its more complicated, forget about it! Move on to something else.
4. Educate yourself. Get your school of hard knocks PhD and know what is going on in the world around you. I do not care how tired, overworked, stupid, pathetic or whatever you think that you are... No More Excuses People! It's about time that you finally become "Dr. Doing-It-My-Way." The reason why all of these jerks get over on everyone is because they bet on the fact that we are all going to lay down and roll over wanting our bellies rubbed instead of knowing that the jig is up. You want to know the real deal, then spend time knowing it. Find out what it all means. If you are reading this, then you are within 24 inches of the internet. Get on more sites and get this stuff in your head. Take a class. You will be an ace in no time. And, for crying out loud get on http://www.pionomics.com/ and use the information!
5. Make your plan. No, I mean it. Take a breath and exhale. The world does not write your history or predict your future. You do. Everyday is really yours to choose. If you get nothing else from the panoramic view of all of this, get one thing clear - YOU are the key. There is way more to you and what you offer than the wages you have earned. The government sees you as Taxpayer (insert your 9 digit number) that keeps taking their juicy bait.
How do YOU see yourself?
May you live in interesting times...
Unemployment is up this week...again...No kidding, Skippy.
And, if you are getting visions of standing in unemployment lines dancing in your head as a possible solution for you, well you better get another plan. Gone are the days of coasting into an unemployment office with a weekly quota of job searches in exchange for your check.
Oh, heck what am I saying... I know nothing of getting a dime of unemployment. It always seemed too ridiculous to me. As with any government aid, all that work just seemed silly. I would rather have my own income, instead of a caseworker and a report to turn in. So, those few that I have known that experienced the other worldly phenomenon commonly referred to as unemployment benefits, apparently it used to be a simple gig. Well, folks...those days are so over! Here is the scoop: The News is going to amp the unemployment percentages to its usual hyper-hemophilia blood letting. The Economy is hemorrhaging faster than the transfusion. Panic, Panic, Panic...Drama, Drama, Drama...Everyone will be out of work by next week. Yes, I said it - Next Week! 100% percent unemployment! Oh, wait a minute... that would actually be great! No one has a job, no one pays taxes - the government flatlines_____________________!
Ok, enough of that pipe dream.
Back to business -
5 Tips To Help You Steer Clear Of The Unemployment Line:
1. Cut your costs. And, be realistic about it. Yes, the ugly b-word/Budget. The majority of people spend most of their income on roof-over-head, fuel and food. Home, utilities, feeding the belly and gasoline for the autos. I know someone right now that went from a $4500 per month house payment to a $2000 per month rental. Guess what? They cannot afford the rental either. Well, like most home zombies.... they could not get it through their undead brains that when you are broke, you gotta really get cheap. And, this does not mean that the standard of living or quality of life changes. This means finding something to live in that is safe and that you can afford easily. Yes, 6 bedroom/4 bath houses are lovely. Not when they become your tomb and you are sailing the Mental Mediterranean River of Denial. It is silly and stupid to stay stuck. So, cut those costs and have some liquidity. Get real right now!
2. Work for yourself. You never get into an unemployment line because you work for yourself. So, you work and make money in your own business of goods or services that others pay you for on a regular basis. And, every dollar that you make, is one less that that can be taken from your pay. The buck comes to you, so therefore you get first dibs. So, when the layoffs whisper to the corporate bottom feeders waiting for the next bailout, you are able to keep your stuff in order. By the way, I never wanted to work for big companies. I tried the corporate route several times, and hated it. Power lunch this, memo that, meetings about meetings and who needs so many damn managers? YUCK! Corporations are so creepy to me. They are akin to a really bad '60s commune except there are power suits and way too much coffee.
3. Invest in what YOU know. That means get advice and check it out. Invest in items that are not debt based paper like the stock market. Only invest in things that you understand completely and can explain to someone else in less than 7 minutes. If its more complicated, forget about it! Move on to something else.
4. Educate yourself. Get your school of hard knocks PhD and know what is going on in the world around you. I do not care how tired, overworked, stupid, pathetic or whatever you think that you are... No More Excuses People! It's about time that you finally become "Dr. Doing-It-My-Way." The reason why all of these jerks get over on everyone is because they bet on the fact that we are all going to lay down and roll over wanting our bellies rubbed instead of knowing that the jig is up. You want to know the real deal, then spend time knowing it. Find out what it all means. If you are reading this, then you are within 24 inches of the internet. Get on more sites and get this stuff in your head. Take a class. You will be an ace in no time. And, for crying out loud get on http://www.pionomics.com/ and use the information!
5. Make your plan. No, I mean it. Take a breath and exhale. The world does not write your history or predict your future. You do. Everyday is really yours to choose. If you get nothing else from the panoramic view of all of this, get one thing clear - YOU are the key. There is way more to you and what you offer than the wages you have earned. The government sees you as Taxpayer (insert your 9 digit number) that keeps taking their juicy bait.
How do YOU see yourself?
May you live in interesting times...
Friday, March 6, 2009
Sailing on The SS Socialism Luxury Liner
The Titanic is finally relieved of its indelible black mark in history. We all know the tragic oceanic tale... amazing new designs by the most brilliant of that era. Then, there was the iceberg incident. How many passengers would later wish that they had taken the next boat?
The Stimulus, The Bailout, The Homeowner Rescue, The Fannie & Freddie Free fall, The Wall Street Woes... All are deemed Too Big To Fail.
(By the way, The Titanic was too great of a ship to sink.)
So, let's see How Would Our Government Go Back And Rescue The Titanic?
The answer must be to provide more lifeboats and life preservers. Hey, that's a great idea. We can rescue more people that way.
How will we pay for all of this?
Well, how about we charge everyone for the access to lifeboats and life preservers? They will pay it because they are desperate. OK, yeah... great plan.
Should we actually fix the ship?
No way! Shhh... we are not going to admit that the brightest minds made a mistake with the initial plans. That would ruin everything. Then, no one would want to ride the boat!
How will we continue to afford future tragedy prevention on The Titanic?
We will convince those that are not yet passengers to pay a fee because it's the right thing to do in order to save everyone that might become passengers. Ah- HA! Another brilliant idea!
We will continue to talk about the tragedy, and warn against the threat of another major iceberg to make a Great Impression.
Next, we need to work on our plan for rescuing other luxury liners that have been negatively affected by this downturn.
What downturn?
Not sure yet. Whatever it is, you can bet that we will make rich people pay a higher tax. And, by rich, I mean everyone else except us and our elite friends.
The Stimulus, The Bailout, The Homeowner Rescue, The Fannie & Freddie Free fall, The Wall Street Woes... All are deemed Too Big To Fail.
(By the way, The Titanic was too great of a ship to sink.)
So, let's see How Would Our Government Go Back And Rescue The Titanic?
The answer must be to provide more lifeboats and life preservers. Hey, that's a great idea. We can rescue more people that way.
How will we pay for all of this?
Well, how about we charge everyone for the access to lifeboats and life preservers? They will pay it because they are desperate. OK, yeah... great plan.
Should we actually fix the ship?
No way! Shhh... we are not going to admit that the brightest minds made a mistake with the initial plans. That would ruin everything. Then, no one would want to ride the boat!
How will we continue to afford future tragedy prevention on The Titanic?
We will convince those that are not yet passengers to pay a fee because it's the right thing to do in order to save everyone that might become passengers. Ah- HA! Another brilliant idea!
We will continue to talk about the tragedy, and warn against the threat of another major iceberg to make a Great Impression.
Next, we need to work on our plan for rescuing other luxury liners that have been negatively affected by this downturn.
What downturn?
Not sure yet. Whatever it is, you can bet that we will make rich people pay a higher tax. And, by rich, I mean everyone else except us and our elite friends.
Thursday, March 5, 2009
The Homeowner Affordability And Stability Plan
The Obama administration's announcement of the Homeowner Affordability And Stability Plan may offer some assistance to homeowners with unaffordable mortgage payments. The plan is targeted to help up to 7 to 9 million homeowners.
This program is designed to be a shared effort between government and lender resources and currently applies to loans held or securitized by Fannie Mae or Freddie Mac. If you don't know if your mortgage is in this category, call your lender after the plan takes effect on March 4th, 2009 to find out.
Unlike current lender conditions the new plan does not require that a homeowner be behind on payments to get a loan modification. If you are struggling to stay current or are experiencing a loss of income due to job loss, increased expenses, or an adjustable rate reset the plan may offer some relief.
The Homeowner Affordability and Stability Plan is designed to help only owner occupied properties, not investment, rental, or vacation homes. One exception is that if you live in one unit of a 2,3 or 4 unit multi-family housing unit.
Second Mortgages and Lines Of Credit? - Do Not Apply
Only the first mortgage on owner occupied homes will apply to this loan modification process. Many homes have liabilities that are split between a first and second mortgage. This was a popular way to avoid paying mortgage insurance on the entire loan amount. In a way this strategy backfires here.
The plan also helps those who have experienced a drop in home value in comparison to their mortgage or own more on the home than it is worth.This will help those that are currently trying to sell those homes. Again this is limited to include only those whose first mortgage exceeds 105% of the home's current market value. Those with second mortgages and lines of credit may be out of luck.
Do You Qualify For The Homeowner Affordability And Stability Plan?
Added Bonus
In addition to helping those currently affected by the housing and foreclosure crisis the plan intends to reward those who stay current on their mortgage payments after the modification. For those that stay current on their payments for five years after their loan modification up to $5000 is available to reduce their mortgage at the end of that period.
This program is designed to be a shared effort between government and lender resources and currently applies to loans held or securitized by Fannie Mae or Freddie Mac. If you don't know if your mortgage is in this category, call your lender after the plan takes effect on March 4th, 2009 to find out.
Unlike current lender conditions the new plan does not require that a homeowner be behind on payments to get a loan modification. If you are struggling to stay current or are experiencing a loss of income due to job loss, increased expenses, or an adjustable rate reset the plan may offer some relief.
The Homeowner Affordability and Stability Plan is designed to help only owner occupied properties, not investment, rental, or vacation homes. One exception is that if you live in one unit of a 2,3 or 4 unit multi-family housing unit.
Second Mortgages and Lines Of Credit? - Do Not Apply
Only the first mortgage on owner occupied homes will apply to this loan modification process. Many homes have liabilities that are split between a first and second mortgage. This was a popular way to avoid paying mortgage insurance on the entire loan amount. In a way this strategy backfires here.
The plan also helps those who have experienced a drop in home value in comparison to their mortgage or own more on the home than it is worth.This will help those that are currently trying to sell those homes. Again this is limited to include only those whose first mortgage exceeds 105% of the home's current market value. Those with second mortgages and lines of credit may be out of luck.
Do You Qualify For The Homeowner Affordability And Stability Plan?
The definitive answer will not be known until the plan actually takes effect on March 4th however a few preliminary details are now available. You may qualify if your mortgage:
Payment is more than 31% of your monthly gross income
Does Not Exceed Fannie Mae and Freddie Mac Limits
Is on An Owner Occupied Home
Is a First Mortgage
(First Mortgage Only) Exceeds 105% of your Home's Market Value
Lenders May Choose To Participate - Or Not
The plan is voluntary for lenders. Without mandatory participation it is not likely that the plan will be implemented by lenders in a timely or efficient fashion if the other voluntary lending guidelines that have been requested are any example.
Added Bonus
In addition to helping those currently affected by the housing and foreclosure crisis the plan intends to reward those who stay current on their mortgage payments after the modification. For those that stay current on their payments for five years after their loan modification up to $5000 is available to reduce their mortgage at the end of that period.
Subscribe to:
Posts (Atom)
