The Make Home Affordable Program

Obama’s Plan called The Making Home Affordable Program released its guidelines to cover these key elements:

The Home Affordable Refinance Program. This program will allow borrowers who have a Fannie Mae or Freddie Mac owned or guaranteed loans to refinance. If you are a homeowner that occupies your property, are making your loan payments, and have loan-to-value ratios between 80-105% you may be eligible to take advantage of a lower interest rate or get out of an adjustable-rate loan. This program ends June 2010. To find out if your loan is guaranteed click here.

The Home Affordable Modification Program. This program is intended to reduce monthly house payments for homeowners at risk of foreclosure. It will allow homeowners who are at-risk or already in default to reduce their monthly payment to be no more than 31% of their gross monthly income. The modification starts by reducing the interest rate, extending the amortization term, and forbearing principal if necessary. This program ends December 31st 2012. For details and Frequently Asked Questions click here.

More Support for the GSEs. This plan is aiming to double the potential Treasury investment in Government Sponsored Enterprises (GSEs) to $200 billion in order to maintain a positive net worth. This plan also raises the cap on mortgages that the GSEs may hold in their portfolios by $50 billion to $900 billion.

If you or someone you know could use the help of this program don't hesitate to contact us. In confidence we can help walk you through some of your options including short sales. We are always here to help and will always keep your information confidential. Click here to email us.