Simplified FHA Loan Mods Start Today

July 1 2013 a new simplified loan modification process starts for anyone with a Fannie Mae or Freddie Mac Loan. Simplified means that you do not have to go through the process of documenting your income and hardship situation.

First find out if that is you - go to this site and see if your loan is owned by Fannie or Freddie

Fannie Mae Look Up: www.knowyouroptions.com/loanlookup

Freddie Mac Look Up: www.freddiemac.com/mymortgage

Then call your loan servicer and ask for for the the new Streamlined Modification

To participate in this program you must be 90 days delinquent on your loan and you must be able to make the three monthly trial payments after which the loan will be permanently modified.

If you have questions on the short sale or loan modification process please call or email us today. More information can also be found on our website psagent.com

Keeping Your Home Will Get Easier For Some...

Effective July 1st 2013

New options coming for homeowners who want to stay in their homes and avoid Short sales or foreclosures. The key here is your loan must be a Fannie Mae or Freddie Mac backed loan.

Fannie and Freddie will begin implementing sweeping new loan modifications guidelines. Lenders and loan servicers will be required to send a "Streamlined Modification Solicitation Offer" to borrowers who are at least 90 days delinquent and meet the initiative’s eligibility requirements.

See if Freddie Mac Owns Your loan here.
See if Fannie Mae owns your loan here.

It differs from previous efforts: Borrowers will not be required to document their hardship or financial situation, but will be able to accept a “Streamlined Modification Offer” by simply making the trial period payments and agreeing to the terms of the mod.

There are some requirements, one is that you must be 3 months delinquent! I don't really like that but it is the way this program is set up

UPDATE:  

It is 2018 now and these rules have changed. There are many things that will be different. If you live in California please go to this website for more information about keeping your home out of Foreclosure.

Is the Government Looking to End Secured Mortgages?

According to a new policy paper the Obama Administration submitted to the Treasury Department just last week the answer may be yes.  Looking to privatize this and relieve the government - ie: taxpayer liability for mortgages gone bad.

Government back loans through Fannie Mae and Freddie Mac have long been a staple of the US real estate market and have helped many a homeowner get their first home.  To be sure the two were also closely tied to some of the worst abuses in the mortgage melt down of the last 5 years.

No matter which side of the issue you are on this is a BIG change in business as usual in the government back loan business.  Read the entire document outlining the administrations proposals.