Homeowners across the United States are desperately looking for ways to stop mortgage foreclosure. From trying to refinance to considering bankruptcy, many homeowners are feeling overwhelmed by their finical hardships and often give up before seeking out all their options.
In 2009 President Obama’s distraction passed the “Making Home Affordable.” bill, giving desperate homeowners a chance to easily refinance their mortgages. Not only saving money but saving their home.
Making Home Affordable is a $75 billion stimulus program that is used to keep mortgage interest rates near all time lows, in an attempt to create new mortgage refinancing options for nearly all homeowners. Meaning that having bad credit, upside down home loans, or any other financial hardships, will not disqualify any homeowners from having the opportunity to refinance.
As we know most mortgage lenders do not help people out of the kindness of their hearts. With a monetary incentive lingering with every possible refinance, banks are now welcoming refinancing with open arms. If a mortgage lender or bank helps a homeowner refinance though the rules of Obama’s stimulus plan, they will receive small cash incentives. What this means is they will overlook a homeowners bad credit, in attempts to refinance, sometimes giving homeowners a 2% interest rate with no closing cost, easily saving struggling homeowners thousands of dollars.
If you are struggling with your finances and are wanting to stop mortgage foreclosure talk with your finical advisor or look for the Obama plan online to see if your home is eligible for either refinancing or a loan modification. Remember actively working against foreclosure, is the best way to keep your home and protect your family from any further hardships.
Many people avoid seeking a solution if they are in debt in other areas or if they have bad credit. The truth is your situation will not get any better until you face the problem head on and start to make some changes. There are programs that can help you out, and if nothing else maybe a family member will take out a loan and pay off your bills to help you get caught up while you make payments to them.
Check with your local state offices to see what types of housing aid they may have available. If you have young children then your chances are greater of obtaining some assistance. It may hurt your pride, but it might be time to seek some help form the state.