President Obama’s Making Home Affordable Initiative– See If You Can Get Helped
In 2009, President Obama announced an effective plan, namely Home Affordable Modification Program HAMP, to help struggling homeowners get affordable and sustainable payment terms on their existing mortgages. HAMP targets at those borrowers who are at imminent risk of foreclosure because of higher interest rates and excessively unmanageable mortgage payments. The program also aims at stabilizing sagging housing market of the nation. Owing to increasing number of financial responsibilities, less than required income, or any sort of hardship, if you find it difficult to maintain regularity in your mortgage payments, you can now have an opportunity to modify your mortgage payment terms with the HAMP. Determine your eligibility for the obama loan modification programs by consulting a professional advisor who has enough knowledge on the modification program and its qualification criteria. A reliable advisor is what you must be looking for to reduce troubles you may face throughout the modification process. Making Home Affordable Modification guidelines are mentioned below: 1. 2. 3. 4. 5. 6. 7. 8.
Homeowner must have bought mortgage on or before 1 January, 2009. Homeowner’s pending dues of existing mortgage should not be above $729,750 for a single-unit property. Homeowner should be using his property as his prime residence. Abandoned or vacant properties will not qualify. Homeowner will be required to submit latest pay stubs, tax returns and an affirmation of his financial hardship. He must demonstrate his financial inability to satisfy current mortgage payments. Homeowner, who previously modified his mortgage, can modify it under the HAMP not more than once. Homeowner’s housing expense-to-income ratio must exceed 31% of his monthly verified gross income. Homeowner must document enough earnings to satisfy modified mortgage payments. Homeowner who has a record of conviction or being found guilty during the last 10 years due to misdeed such as tax evasion, theft, forgery, in connection to real estate or mortgage dealings, will not qualify for the HAMP.
HAMP will discontinue from 31 December, 2013 onwards. If you cannot qualify for the Home Affordable Modification Program and still want to answer a tormenting question, how to get principal reduction?, you can consider another federal plan, Principal Reduction Alternative (PRA). It aims at helping underwater homeowners who owe more on their mortgages than the actual worth of their homes. Under PRA, mortgage servicer or lender will reduce the principal amount of mortgage to make it more affordable for distressed households and avoid possible delinquencies and foreclosures. Some online financial service providers can offer you meaningful and effective solutions to the troubles you encounter while even searching for different programs. Obama mortgage loan modification program experts are part of an expanding network possessed by such online financial service providers. A reliable expert will assist you in exploring your mortgage modification and principal reduction options, choosing the one that best suits your requirement, applying for it and getting approved for the same. He will make you wellversed with the qualification criteria of the HAMP, thereby reducing rigors throughout the process.
Go to website to get more info about Obama’s Making Home Affordable plan.