New Obama Program to Keep Homeowners in their homes for 12 months
http://www.billgemmill.com/blog/articles/32/1/New-Obama-Program-to-Keep-Homeowners-in-their-homes-for-12-months/Page1.html
Bill Gemmill
REALTORRealtor
By Bill Gemmill
Published on 07/16/2011
Starting August 1st the FHA will extend the time for unemployed homeowners to miss mortgage payments to a full year from the present 3-4 month rule. This will allow QUALIFIED homeowners to go without making a payment for up to 12 months before the foreclosure process starts.
While this is a step in the right direction, it presently is limited to only FHA backed loans, an estimated 14 % of all loans. The administration hopes that the private sector and Freddie/Fannie (which back up to 90% of all new mortgages) will also adopt a similiar policy.
The last administration program to help troubled homeowners gave loan modifications to about 1.6 million loans over the past two years, but almost half of those homeowners dropped out of the program.