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President Obama to Spend $275 Billion To Help Save Mortgages

admin — Thu, 19 Feb 2009 05:16:04 +0000

On Wednesday, President Obama announced his new plan to spend up to $275 billion on a plan to help fight the disease of foreclosures, which has been spreading in every market of the US. It is estimated that by 2012, over 8.1 million homes, or 16% of all houses with mortgages, could be in foreclosure. You can see why this has been on Obama’s agenda from the very beginning. A failure to come to the rescue could be catastrophic for the US markets for years to come.

In the speech today, Obama says he plans to put into action his plan which will only help people who were responsible in purchasing a house and who did not take advantage of the system when buying their house. Having Freddie Mac and Fannie Mae currently controlled by the government, he said effective immediately, if your house is secured by Freddie or Fannie, you are eligible to apply for a loan modification. He also said that he encourages all other financial institutions to work with consumers to restructure their loans. He said any institution planning to use government funds will be required to participate in loan modification for qualified consumers.

He also created a $2 billion initiative for neighborhood campaigns to help work together to slow the foreclosure process. This is big news for anyone owning a home as banks continue to receive more incentives from the government to work with customers and their mortgages. Click here to modify your loan today!

President Obama to Outline His Plan To Help Slow Home Foreclosures

admin — Tue, 17 Feb 2009 23:53:13 +0000

On Wednesday, February 18th, President Obama plans to outline his plan to help subsidize mortgages in his attempts to try and slow the massive foreclosure hitting the US. With the huge increase in housing foreclosures this past year and the expected amount for it to continue to increase, President Obama has been working with banks to try and find a resolve to the decaying real estate problem.

Government controlled Fannie Mae and Freddie Mac and other banks, such as JP Morgan, Bank of America, and Morgan Stanley said that they would be halting all foreclosures through March 6th. The planned halt is for only primary residences and does not pertain to investment properties. Fannie and Freddie, which guarantees about 50% of US homes, have had a halt since the holidays and will most likely continue longer, as it is currently controlled by the government.

This is big news for loan modification and for your ability to modify or refinance your home loan. With the government continually pursuing options to help battle home foreclosures, banks are more able to work with you and your mortgage to find a suitable payment situation for you. Find out why NOW is the best time to consider modifying your loan! CLICK HERE

President Obama May Start Subsidizing Mortgages

admin — Fri, 13 Feb 2009 05:10:02 +0000

Big news from Washington hit media today as it seems the Obama administration is working to put together a plan to help subsidize mortgages to help reduce the foreclosure count for homes. Their theory is that by helping to insure certain mortgage back debt, they will instill more confidence in banks and help allow them to start lending more. Just as news hit the public, the stock market shot up in its remaining 45 minutes to almost eliminate an earlier 3% deficit in the Dow.

So how can this help you in your problem to modify your loan? By helping to increase the liquidity of banks and help subsidize exisiting loans, this should help the banks become more cooperative in your loan modification. This will also be a big boost for home re-finances as well as the issuance of completely new loans all together. Most likely, the subsidation from the government will come with strings attached to the banks requiring them to be more cooperative in loan modification and other needs for financing. Click here to get your loan modified today!

Government Set To Announce New Plan To Buy Toxic Debt

admin — Tue, 10 Feb 2009 06:41:18 +0000

On Tuesday, February 10th, Secretary Geithner is set to unveil the new plan to help buy toxic assets from banks in order to build up the strength of their balance sheet. After a few weeks of consideration of different strategies, it seems like the treasury is going to introduce a program where they will encourage private equity to invest in troubled assets to help get them off bank’s books. To help encourage this, the government is offering protection of additional losses in the assets so that if they did continue to fall in price, the investor would be protected. Also, they are planning on allocating anywhere from $50-$100 billion of the remaining $350 billion in TARP funds to assets in foreclosure.

The Treasury thinks that $250-$500 billion of assets could be saved using this process and maybe even up to $1 trillion after the package is expanded. This directly relates to the process of loan modification, as the quicker banks are able to make their balance sheet’s stronger, the quicker and more they are able to assist you in your loan. Having the Treasury set to put this plan into action this week, we could see big movements in the financial sector that directly effect you and your mortgage. We here at Loan Modification Sites will keep you up to date on all the news that will enable you to find the best help for your loan.

Government May Consider Changing Current “Mark to Market” Accounting For Banks

admin — Fri, 06 Feb 2009 21:01:32 +0000

Recent news has been talking about the possibility of the Obama administration altering or doing away with the current “mark to market” accounting that is required to be used by banks at the current time. Mark to market accounting is the act of updating bank’s balance sheets with the present value of their assets, not compared to when it was first purchased, as what is usually done. Doing away with this, would most likely be a big boost for banks as their balance sheets would hold up in value much greater than they do now.

If this truly does happen, which we should know in a few days, it would mostly likely unfreeze some assets for banks and hopefully better the lending markets for a bit. This eventually benefits the consumer as banks would be more likely to work with loan modification and restructuring your loan. Stay tuned at Loan Modification Sites for more updates!

Citi Agrees to Allow Bankruptcy Judges to Modify Loans

admin — Thu, 05 Feb 2009 05:28:12 +0000

In January, Citi Bank agreed with lawmakers to give authority to bankruptcy judges to alter existing mortgages. After the agreement was made, much interest was shown on behalf of other lenders who also supported the measure. Borrowers are required to have attempted to work with their lender before hand in attempts to modify their loans, before pursuing bankruptcy. In the event of bankruptcy, judges have the authority to alter mortgages at will to help fit what will work best for the borrower.

This is a big move in the loan modification sector as it is another measure that the government has passed to assist consumers in keeping their house and being able to afford a reasonable mortgage payment. It is unclear whether or not this will be accepted by other major lending institutions.

This news is critical for those seeking loan modification. As more news develops we will be sure to keep you informed here at loan modification sites.