Posts tagged as:

obama housing plan

Obama adminstration launches effort to aid troubled borrowers with second mortgages

by Moe Bedard

WASHINGTON — The Obama administration is expected to announce Tuesday that it is expanding its plan to stem the housing crisis by offering mortgage lenders incentives to lower borrowers’ bills on second mortgages.
During the housing boom, lenders readily gave out “piggyback” second loans that allowed consumers to make small down payments or avoid them entirely. [...]

1 comment Read the full article →

Bank of America Formally Announces Participation in Federal Loan Mod Incentive Program

by Moe Bedard

By Moe Bedard
Last Friday, Bank of America formally announced its inclusion in to President Obama’s Loan Modification Incentive program. The program allocates 75 billion in aid to lenders and services to not only provide loan modifications under federal standards, but also agrees to subsidize payment reductions to 31% of a borrowers monthly income.
From CNN Money:

Mortgage [...]

29 comments Read the full article →

Servicers are Finally Coming Around

by Moe Bedard

By Moe Bedard 
 

It’s no secret that loss mitigation departments are notorious for terrible customer service. They treat people like criminals for having financial problems. Over the years I’ve written numerous articles suggesting how loss mitigation departments can improve their customer service. First and [...]

3 comments Read the full article →

HUD Secretary Donovan Speaks on the Obama Housing Plan

by Moe Bedard

SHAUN DONOVAN, HUD SECRETARY: We’re going to target those borrowers that are most at risk of foreclosure through our modification plan, helping to bring payments down to 31 percent of their income for three to four million borrowers. We’re going to target that in a way that first of all, no speculators, no investor-owners are [...]

5 comments Read the full article →

Details on Obama’s Home Affordable Loan Modification Program

by Moe Bedard

The Obama Administration’s Making Home Affordable program will offer assistance to as many as 7 to 9 million homeowners making a good-faith effort to make their mortgage payments, while attempting to prevent the destructive impact of the housing crisis on families and communities.
It will not provide money to speculators, and it will target support to [...]

87 comments Read the full article →

HUD Chief Defends Obama Housing Plan

by Moe Bedard

“We have millions of families across this country through no fault of their own that are in trouble on their mortgages,” he said. “Let’s remember that every time there’s a foreclosure, a next-door neighbor loses value in their house too… by stopping foreclosures, this benefits everyone.”

Read the full article →

Help for homeowners: Courtesy of the White House

by Moe Bedard

Questions and Answers for Borrowers about the Homeowner Affordability and Stability Plan

Borrowers Who Are Current on Their Mortgage Are Asking:

* What help is available for borrowers who stay current on their mortgage payments but have seen their homes decrease in value?

Under the Homeowner Affordability and Stability Plan, eligible borrowers who stay current on their mortgages but have been unable to refinance to lower their interest rates because their homes have decreased in value, may now have the opportunity to refinance into a 30 or 15 year, fixed rate loan. Through the program, Fannie Mae and Freddie Mac will allow the refinancing of mortgage loans that they hold in their portfolios or that they placed in mortgage backed securities.

* I owe more than my property is worth, do I still qualify to refinance under the Homeowner Affordability and Stability Plan?

Read the full article →

President Obama’s Foreclosure Prevention Plan Explained

by Moe Bedard

For those of us that pay attention to the world of home loan workouts there was a great deal of anticipation leading up to President Obama’s speech today.

27 comments Read the full article →

Financial Crisis: “Silver Bullets” for Toxic Mortgages?

by Moe Bedard

The Obama Administration is floating a proposal that would allow the government to directly buy more loans from servicers of mortgage-backed securities

With the financial crisis quickly becoming President Obama’s primary burden, his Administration has intensified its efforts to stem the rising tide of foreclosures in order to solve the root cause of the difficulties. On Feb. 11, Treasury Secretary Timothy Geithner and Shaun Donovan, Secretary of the Housing & Urban Development Dept., met with community groups and key stakeholders in the banking industry to gauge support for a potential program that would allow the government to directly buy whole loans from servicers of mortgage-backed securities (MBS) in order to modify them—and keep more borrowers in their homes.

Read the full article →

Will Obama Stand By His Foreclosure Moratorium and Bankruptcy Promises?

by Moe Bedard

Below are promises made to Main Street homeowners during President-Elect Obama‘s campaign in his own words from BarackObama.com.
“The final plan must provide help to families who are struggling to stay in their homes. We cannot simply bailout Wall Street without helping the millions of innocent homeowners who are facing foreclosure.” Obama September 2008
“Going forward, [...]

Read the full article →