| The housing market in America is currently is sad | | | | the mortgage rates can only have started when the |
| shape. With foreclosures at an all time high and | | | | mortgage rate adjusted upwards. |
| property values dropping many people are at risk of | | | | The FHA Secure plan differs from traditional FHA |
| losing their homes because they cannot refinance. | | | | refinancing plans because it allows people to refinance |
| Combined with the increased adjustable mortgage | | | | their loans when their home is worth less then they |
| payments the tone has been set for large problems | | | | owe. This is done by negotiating with the current lender |
| that will trickle through the entire economy. I order to | | | | and either having them agree to forgive the remaining |
| help stop this problem from getting worse the bush | | | | balance or hold the difference in a second mortgage |
| administration mortgage help plan was developed. | | | | position. With many lenders bottom lines being affected |
| How Can This Can Help You | | | | by the rise in foreclosures many are eager to do what |
| The plan developed by the bush administration to help | | | | ever it takes to keep people in their homes and will |
| homeowners refinance their troubled mortgages is | | | | work with the FHA Secure program. |
| called the FHA Secure Initiative. This initiative will let | | | | However this program is not for people who cannot |
| homeowners refinance up to 97.75% of their homes | | | | currently afford their homes because they were |
| current value. It will also allow borrowers with | | | | purchased with stated or no documentation loans and |
| numerous 30 day late payments to qualify for | | | | their incomes were inflated. You will still have to qualify |
| refinancing as well. The catch to this though is that | | | | within the standard FHA guidelines for debt to income |
| borrowers must have paid the mortgage on time and | | | | ratios, these are generally no higher then 45%. |