The Federal Government and President Obama have created the “Making Home Affordable” plan which will allow millions of struggling homeowners the chance to refinance their existing loan into a new fixed rate 2% home mortgage. Using the Governments assistance will save the average homeowner hundreds every month. Here is how:

This plan which was just started last month, instantly made and estimated 9 million homeowners eligible to refinance their home with a government backed fixed rate 2% mortgage. Things that were generally required in order to get approved for a refinance or modification, such as a 20% stake equity in your home, are no longer needed under the guidelines of this refinance stimulus plan. The goal of this plan is to get mortgage lenders and banks to approve as many homeowners as possible and help them save their home from foreclosure. This stimulus refinancing plan has over $75 billion dollars set aside and most of it will be used to give cash incentives to mortgage lenders and banks who approve homeowners who are at risk of losing their homes. This means that the lending companies are more likely to approve you due to their risks being minimized.

Homeowners who choose to use this plan to their advantage and refinance their home will see huge savings in their monthly mortgage payments due to the reduced interest. It is also possible to save your home from foreclosure, even if the process had already begun, using this amazing home mortgage refinance or modification stimulus package.

Helping to stop the growing number foreclosures will do a lot to restore consumer confidence in the housing market. As a result of this the prices of homes will slowly start to rise to the prior “Housing Crisis” prices. A foreclosed home can lower the prices of surrounding homes by as much as 9% so stopping foreclosures is a must and this plan delivers.

Here are some eligibility requirements for homeowners who want to use this home refinance or modification stimulus plan:

-Have a mortgage that is worth less that $729,500

-Live in the home to be refinanced as their primary residence

-Are facing any type of “Financial Hardship” such as tuition, medical bills, car loans, or other high interest debts

-Who have a loan insured or financed by either Fannie Mae or Freddie Mac

-Have seen the value of their property drop by 15% or more in recent times as a result of the housing and mortgage crisis

-Have a mortgage worth up to 5% more than their homes market value

-Are facing foreclosure, or are already in the process, on their home. This plan will allow them to refinance into a 2% fixed rate home loan with a streamlined fast refinance process

Millions of homeowners will very easily be able to save hundreds of dollars every single month just by taking advantage of this home mortgage refinancing and modification stimulus plan from President Obama. Homeowners who are facing foreclosure will also be more likely to save their home through the use of this plan. Do some research with potential mortgage lenders and banks to see how much money you can save by taking advantage of this plan.

-M Petrone

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