Personal Finance guide

The Obama federal loan modification program is expected to benefit four to five million homeowners in America. Because foreclosure benefits neither the mortgage lender nor the homeowner, most lenders are eager to participate in this program, but they are not required to do so. Mortgage lenders agreeing to participate in Obama’s federal loan modification program must agree to Treasure Department guidelines and are given incentives to work with financially strapped homeowners to handle modifying loan requests.

MHA, or Making Homes Affordable, offers this list of current lenders taking part in the Obama federal loan modification program (in alphabetical order):

1. Bank of America.

2. Carrington Mortgage Services.

3. Chase.

4. CitiMortgage.

5. Countrywide.

6. GMAC.

7. Green Tree Servicing.

8. Home Loan Services, Inc.

9. Ocwen Financial Corp.

10. Saxon Mortgage Services.

11. Select Portfolio Servicing.

12. Wells Fargo Bank.

13. Wilshire Credit Corp. Continue reading ‘Obama's Federal Loan Modification Plan – List of Participating Lenders’ »

Help is available through the Home Affordable Plan to homeowners struggling to make their monthly mortgage payments. Loan modifications can lower your monthly mortgage payment to help keep you in your home if refinancing is not a viable option for you. Below are some points concerning loan modification.

* Homeowners can extend their payment terms up to 40 years and reduce their interest rates by up to 2% using the Home Affordable Modification Plan. This plan allows homeowners who are suffering with financial difficulties to modify their loans based on hardship. This is an especially a good option for those who lost their jobs and don’t qualify for refinancing. It’s also a better option for those whose property values have declined or where the real estate market is still soft, preventing them from being able to sell their homes. Continue reading ‘Determining Whether Refinancing Or Loan Modification is the Better Choice For You’ »

Loan Modifications and the Race Against Foreclosures

While there have been recent signs that the economy and real estate markets may be in the early phases of stabilizing, the foreclosure crisis appears to be rolling along unimpeded. The most recent evidence comes from a new study from RealtyTrac, Inc., an Irvine, California based housing research organization which reports that foreclosure filings in the form of default notices, scheduled auctions, and bank repossessions totaled a record 360,149 in July.

The total represents a monthly increase of 7% from June and a 32% rise from July of 2008. The month’s total of foreclosure actions broke the existing record for the third time in five months. Continue reading ‘Loan Modifications and the Race Against Foreclosures’ »

Hardship assistance in the form of loan modifications has been available for years, but it’s the topic of conversation now more than ever since the Making Home Affordable (MHA) Act was introduced by President Obama. Unlike in years past, the process for applying and being approved for home loan modification is less inefficient and speedier. Investigate your options if you think that a home loan modification would assist you in your time of financial hardship.

It doesn’t have to be the end or result in foreclosure if you’re currently having difficulty making your monthly mortgage payments. If you apply for loan modification assistance before you hit rock bottom, you may be able to do something to save your home. A financial adviser can let you know your options, whether you hire one or schedule an appointment with a HUD-approved financial adviser for free counseling. Continue reading ‘Easy Advice For Home Loan Modification Hardship Assistance’ »

News of downsizing and layoffs has been prevalent during these downturns in our economy. Those who have lost their jobs are concerned about meeting their bills, including their monthly mortgage payments and wonder if there’s any opportunity for them to participate in a loan modification program. That’s a valid concern considering that obtaining a loan usually requires the ability to repay the loan, which requires the borrower to have a job in order to earn income.

You are not alone if you are finding it more difficult to make your monthly mortgage payments. Millions of Americans are experiencing the same problems as you are facing. Foreclosure is a scary word that you don’t want to have to consider and there may be other options that will work better for you and your family. Don’t feel guilty about being in the situation that you find yourself – it’s not your fault. Continue reading ‘Can You Qualify For Loan Modification If You Are Unemployed?’ »

Stop worrying about foreclosure and start evaluating your options to modify your adjustable rate mortgage and lower your monthly house payments. There are programs out there available to help you through your current financial hardship. The lenders realize that foreclosure is not the best option for them or for you, so they are willing to work with you if you meet certain qualifications.

With all the other expenses you incur each month, you surely don’t want to have to continue to make high mortgage payments for an extended period of time, worrying whether or not you’ll be able to make the next one.

A contingency plan can help you solve your mortgage woes by allowing you to lower your monthly payments. Being proactive is better than being reactive, so don’t wait until you’re knee-deep in financial trouble, explore your alternatives now. Continue reading ‘The Facts about Adjustable Rate Mortgage Loan Modification’ »

The 2009 Home Stimulus Package contains 75 billion dollars worth of funding to revive the gasping housing market in the United States. Millions of people will take advantage of this assistance; will you benefit?

First, let’s look at what this program entails:

· A totally reworked mortgage.

· Avoiding foreclosure.

· Lower monthly payments, less than 31% of your gross monthly income.

· Reduced interest rate, possibly as low as 2 % for five years.

· $1,000 incentives for each year you are current with your payment, up to $5,000. Continue reading ‘The Home Stimulus Package – What's in it For You?’ »

Loan modifications have been in news for quite a long time but still there are some myths related to this topic among the lenders, service providers and the borrowers too. This confusion and inaccurate information on loan modification process is due to the bloggers and journalist who don’t have complete idea about the exact process and the involvements in it. The fact is that loan modification programs are being worked out in huge numbers these days but reality is that only the learned homeowners are able to take the advantage of this so far.

The first thing that is in the borrowers’ mind is that those who are late in the payment of their monthly installments are only eligible for this program. This is not true because if you foresee or if you are facing difficulty and somehow manage to pay back your home mortgage loan installments, then you can talk to your lender and apply to one of these loan modification programs. Even if you are facing legal violations on your home mortgage loan and you contact your lender, he will workout a loan modification program for you and if he refuses to do so you can consult with an attorney regarding this. Continue reading ‘Myths and Facts Related to Loan Modifications’ »

A well-written hardship letter can make or break your ability to be approved for a loan modification. The hardship letter needs to lay out the reasons why you are facing financial difficulties and why you would be able to meet your mortgage obligations under revised terms.

Preparation is always the key to success, so preparing a checklist to guide you toward covering all aspects that need to be included in your hardship letter will increase your odds of approval. Below are the three key points that you need to include in your letter. Continue reading ‘Preparing a Loan Modification Hardship Letter – Three Basic Points to Include’ »

Do you have questions about Obama’s loan modification program and who is eligible to participate in it? Are you wondering which financial institutions are providing loan modification options using the $75 billion allocated by the Treasury Department? Keep reading for some answers to these questions and more.

Lender participation in the federal program isn’t required, but many financial institutions have already signed up and many more are eager as modifying a loan is a much preferred alternative to foreclosure. Also, under Obama’s loan modification setup, lenders are being offered incentives to participate in this plan that is expected to protect four to five million American homeowners from losing their homes. Continue reading ‘Eligibility Requirements Under Obama's Loan Modification Program’ »