Wondering what is going on with Obama’s Refinancing Plan? Well basically in his new proposal it states that homeowners with privately held mortgages at a record low in rates they will be giving homeowners a annual savings of about $3,000 for the average borrower.
They estimate that over 3.5 million borrowers with a privately held mortgages have high enough interest rates that they would have incentive to refinance under the new plan. That is an addition to 11 million borrowers who have Fannie-or-Freddie loans could be eligible for refinancing under the proposed change.
To qualify they say that borrowers with privately held mortgages would have to have no more than one delinquency in the 6 months prior to their refinancing. Banks would have to reduce mortage balances for homeowners who owe more than 140 percent of the value of their homes.
This is for sure going to be a program that will help a ton of people we did not qualify before.
They are also expecting to announce a program taht would allow the sale of foreclosed homes by fannie mae to investors who would then offer the properties for rental.
Under this new refinancing plan, any homeowner current on his or her mortgage can take advantage of the low rates. The average rate is for a 30 year mortage is 3.88 percent.
About 11 Million Americans which is about 1 in 4 with a mortgage are underwater according to CoreLogic, a real estate data firm.
Half of the all US Mortgages are owned by nongovermment lenders so that means that most of you can qualify or know someone who can take advantage of this program.
Posted via Seattle Real Estate-Seattle Homes For Sale