Guest blog by Kevin Craig
According to the federal housing finance agency, President Obama’s home mortgage refinance plan has been extended up to June 30, 2012, so that many households can be benefited from the program. The Obama refinance program is an indispensable part of the federal government making home affordable program, which is designed to provide homeowners with affordable mortgage terms and conditions. Due to the economic crisis in recent times, home prices have declined sharply. Again, the recent economic crisis has compelled many homeowners to file bankruptcy and face foreclosure. The Obama home refinance program is particularly designed for these homeowners so that they can avoid foreclosure and save their homes.
Eligibility for Obama Home Refinance Plan
If you want to avail the benefits of Obama home refinance program, you have to be eligible for that. You should carefully work out the eligibility criteria by taking the services of a mortgage attorney. A mortgage attorney can help you by analyzing your present mortgage status and determining your monthly mortgage payments after assessing your debt-to-income ratio.
- The applicant must own the home and be staying in it
- The mortgage loan must be backed by either Mac or Fannie Mae
- The applicant must not be more than 30 days late on his payments in the last 12 months
- The basic mortgage must be less than 125 percent of the home’ present market value
Pros of Obama Home Refinance Plan
The Obama home refinance program helps you obtain a new loan after redeeming your current mortgage. The major advantages of the Obama refinance plan are:
- Cutback in your mortgage rate
- You can get a fixed rate mortgage if you have an adjustable rate mortgage
- A reduction in your mortgage term
The Obama mortgage refinance program is a bit complicated than Obama loan modification program and requires a large number of documents.
Michelle Castle provides mortgage loans to all of North Texas and Southern Oklahoma. Call Michelle Castle at (903) 892-1998 if you are looking for a home loan in North Texas and Southern Oklahoma.