| Are you among the millions of U.S. homeowners hit the | | | | who happens to insure them. A lot of homeowners |
| hardest by the current financial crisis in America? Are | | | | don't even know who insures their loan, and that's |
| you concerned that you can't make your monthly | | | | because they rarely need to know that information. |
| mortgage payments anymore? If you're nodding your | | | | When they do need it is when they want to modify |
| head, you need to hurry to a financial counselor today | | | | their loan to decrease their monthly payments. If your |
| and ask about home loan modification vs. FHA | | | | loan is a Fannie or Freddie loan, then you could be |
| refinance. | | | | eligible for President Obama's Making Home |
| Loan modification and FHA refinance are helping | | | | Affordable mortgage loan modification plan. If you |
| hundreds of thousands of homeowners prevent | | | | have got an FHA loan, then you should look into the |
| foreclosure when they can't pay their mortgages. | | | | HOPE for Homeowners plan, which is a special FHA |
| Which one is best for you depends mostly on who | | | | plan to refinance mortgages through equity sharing. |
| backs your loan. To learn about your loan insurer, call | | | | Refinancing with HOPE for Homeowners with FHA |
| your lender and ask. Most loans are insured by the | | | | loans opens up the possibility of refinancing to |
| FHA, Freddie Mac, or Fannie Mae. None of these three | | | | thousands of individuals who didn't used to qualify |
| organizations are actual lenders, but they insure the | | | | under old refinancing laws. Decreasing house prices |
| loans and guarantee the full amount of the loan. Doing | | | | have caused a drop in the home equity that people |
| this lessens the risk for lenders and helps borrowers | | | | hold, and that drop has made some unable to |
| get lower interest rates. | | | | refinance traditionally. If they have lost enough equity |
| How can you tell apart an FHA loan and a Fannie or | | | | that they no longer have 20% equity, they used to be |
| Freddie loan? From the outside, you really can't. There | | | | unable to finance. |
| isn't much difference between the loans, aside from | | | | |