NEW MOD PROGRAM IN EFFECT for Fannie/Freddie clients who are behind on paymenst

"Fannie and Freddie's loan modification plan aims to help abate the foreclosure crisis by aiding homeowners who have fallen at least three months behind on their payments, but only if their loans are held by the two companies.

Under the program, the new primary mortgage payments -- including taxes and insurance --shouldn't total more than 38 percent of homeowners' pretax monthly income"

Source:
http://biz.yahoo.com/ap/081120/mortgage_giants_foreclosures.html

SUCKISSTAPLES said:NEW MOD PROGRAM IN EFFECT for Fannie/Freddie clients who are behind on paymenst

"Fannie and Freddie's loan modification plan aims to help abate the foreclosure crisis by aiding homeowners who have fallen at least three months behind on their payments, but only if their loans are held by the two companies.

Under the program, the new primary mortgage payments -- including taxes and insurance --shouldn't total more than 38 percent of homeowners' pretax monthly income"

Source:
http://biz.yahoo.com/ap/081120/mortgage_giants_foreclosures.html

"Primary mortgage payments" does that mean if you have an existing second mortgage they do not include that?
Also, does anyone have any information on how the loan modifications work when you did a 80/10/10 and the two mortgages are with different banks? Obviously I want to concentrate on getting the rate changed on the 80 as any changes to this rate mean a lot of savings each month.

Aurora is 1-877-297-5353 , They are not looking at your case untill you miss two payments and then they will try a payment plan? You may or may not get any modification depending on your financials.

Chase is doing nothing at this time.

I talked to Countrywide today. I have a mortgage with a $130,000 balance and payments of $1250/month including taxes and insurance. The rate is 6.25%.

I am currently 2 months behind, last week I was 3 months behind. My monthly income is about $2000-$2500 depending on the hours I get at work. My household is myself and 2 kids. I was told they can do nothing. They will not defer payments, they have no programs to reduce payments, even temporarily. I am trying very hard to keep the mortgage from falling more than 90 days behind as they said they will begin foreclosure proceedings as soon as it hits 90 days.

I didn't expect them to knock the principle down but with all the talk about mortgage help I was hoping they could do something like defer the payments I've missed. I don't even know if there is help out there for me at this point.

I heard on the radio today a person who called their mortgage company and they let her skip 3 payments and add them on the back end. Not sure of the mortgage company but may be worth a try if a person is having trouble. I had heard that mortgage companies did not usually do this, but they may be changing their ways.

HEADS UP GUYS!!!

THE LOAN MODIFICATION PROCESS S TRICKY WITH THEIR PAPERWORK. IF YOU FILL IT OUT WRONG, YOU MAY GET DENIED.

My friend received a notice from he bank and went ahead to negociate with them. He submitted everything the ask for, but he was denied. The bank claimed that they could not help him because e did not qualify.
He was reffered to a small company that does loan modifications. They found out that his papers were filled out wrong, therefore, there s no way he would get it done.

They helped him out for a small fee and and the bank is working with this firm now to modify the loan and reduce his principal.

If you don't kow what yo are doing, Beware. Better get a professional ti do it for you. The benefits in the end are far more grate than the fee.

mshen11 said:interested in loan mods but was told you have to be late. has anyone been successful but not being late on your payments?

i was told in the paperwork, if you make your expenses too high (relative to income) they will reject you because 'you dont make enough money'. if you make your expenses too low, you're too rich. what is the right ratio/number?

also (to SIS) if you have more than 1 house, does that disqualify you from loan mods?No, having more than 1 house does not "disqualify" you, but as has been noted, each lender is applying different standards for who they will modify, what their income needs to be , etc.

A general rule is that if you take your income, subtract all expenses (including your anticipated new loan payment), you should have no more than $300 left over. If you have more than that, they will say you can afford a higher payment. If you have less than even the basic expenses, you will be denied as not making enough regardless of modification.

I have been following this site for a while, and now I am in desperate need of your help.
I have a Countrywide loan on my primary residence it is a 10 Year Arm that is currently at about 6.0% - It is not set to readjust for another 7 years.
I am almost 90 days behind in my payments.
I have about 100k equity in the property.
I am not currently working, however, I just rented the bottom 1/2 of my home to a boarder for $1500 per month (separate kitchen etc.)
I have a job that will start in March that pays well - $40-$50.00 per hour.
I have not worked for almost a year and a half, but I am returning to a field I have worked in for over 12 years.
I receive rent on 2 other properties- but they are also behind by over 90 days.
I owe Home Depot about $9,500 and a Jewelry Store about $9,500 - those are my only credit card debts.
WILL I QUALIFY FOR A RE-MODIFICATION?
HOW DO I GO ABOUT IT?
I AM SO OVERWHELMED.
PLEASE, I AM BEGGING FOR ANY ADVICE OR HELP.

Appears that soon we will see a standardized loan re-appraisal and modification procedure

http://www.msnbc.msn.com/id/29165435

Hey, thanks for posting this. It helped me a lot.