WaMu loan modifications have recently gotten to be more accessible with help from Obama make home affordable program. In the past it was almost impossible for a homeowner to get a modification, even with an attorney. But now, as both the borrowers and WaMu themselves are trying to avoid foreclosures, new loan modification options are becoming available all the time.
You will be given a period of about 20 days depending on the state you live, to require a court hearing, if you wish to do so, to give an explanation to the judge of the reasons why you're not making your monthly mortgage payments. Almost in all cases you will lose the court hearing. This is just a show. After you lose the court hearing the judge will authorize the bank to foreclose you out of the house. The Bank will them sale the home in a local property auction, and you will usually be given one week to move out of your home, or you will be removed by forced from the property.
In order to be eligible for a modification with Washington Mutual, there are a few basic requirements. The most obvious requirement is that the property the homeowner is trying to get a modification on must be their place of residence. So no extra properties can be considered. Also, it is only possible for one piece of property to have one modification and a homeowner is only eligible once, even if they move.
The mortgage must not be above $729,750 in order to qualify, and WaMu does not require that a borrower be late on their mortgage payments to be considered for loan modification. Possibly the best news for homeowners is that they do not check credit to qualify someone for modification -- they only require documentation on income, expenses, taxes, and the like. This is great for those who have mediocre to bad credit but still need assistance.
Second, the housing ratio of 31% and the total debt ratio of 43% were too tight. The program targeted people with adjustable rate sub prime mortgages. While the interest rates on these mortgages were high, the typical housing ratio for most of these people was close to 40%. The total debt ratio approached 50% and sometimes was higher. Here again most people in this group were excluded from applying. On December 19, 2008 the FHA announced that it was not going to extend the FHA Secure program. The program was going to terminate on December 31, 2008 as originally scheduled. While the FHA said that continuing the program would have too great a financial impact, the real reason was that it never accomplished what it was intended for - to help people facing foreclosure save their homes.
You will be given a period of about 20 days depending on the state you live, to require a court hearing, if you wish to do so, to give an explanation to the judge of the reasons why you're not making your monthly mortgage payments. Almost in all cases you will lose the court hearing. This is just a show. After you lose the court hearing the judge will authorize the bank to foreclose you out of the house. The Bank will them sale the home in a local property auction, and you will usually be given one week to move out of your home, or you will be removed by forced from the property.
In order to be eligible for a modification with Washington Mutual, there are a few basic requirements. The most obvious requirement is that the property the homeowner is trying to get a modification on must be their place of residence. So no extra properties can be considered. Also, it is only possible for one piece of property to have one modification and a homeowner is only eligible once, even if they move.
The mortgage must not be above $729,750 in order to qualify, and WaMu does not require that a borrower be late on their mortgage payments to be considered for loan modification. Possibly the best news for homeowners is that they do not check credit to qualify someone for modification -- they only require documentation on income, expenses, taxes, and the like. This is great for those who have mediocre to bad credit but still need assistance.
Second, the housing ratio of 31% and the total debt ratio of 43% were too tight. The program targeted people with adjustable rate sub prime mortgages. While the interest rates on these mortgages were high, the typical housing ratio for most of these people was close to 40%. The total debt ratio approached 50% and sometimes was higher. Here again most people in this group were excluded from applying. On December 19, 2008 the FHA announced that it was not going to extend the FHA Secure program. The program was going to terminate on December 31, 2008 as originally scheduled. While the FHA said that continuing the program would have too great a financial impact, the real reason was that it never accomplished what it was intended for - to help people facing foreclosure save their homes.
No comments:
Post a Comment