If you are trying to stay afloat during this economic situation – not being able to make your monthly mortgage payments – Obama has a home loan modification plan to help you out. There are homeowners are having financial problems who may have to leave the home they are living in because they have lost a job, raising prices of living expenses and the regular bills, etc. If you are that homeowner, who might foreclose on your home, you might want to ask yourself the following questions:
1. Did your mortgage get approved before January 1, 2009?
2. Is the total mortgage amount you received and having problems pay below $ 729,500?
3. Are you currently living on the property you are having problems paying on?
4. Can you get all the paperwork dealing with your income and tax returns available?
5. Can you prove you are really having financial difficulties?
6. Is the household debt over 55 percent of what the total income is? If so, are you wiling to seek financial counseling?
7. What condition is your credit?
8. Have you been late on any of your mortgage payments?
On questions 1-6, you may be eligible for modified loan. If you answered "no" to 7 & 8, then depending on the lender, you may or may not get a loan modification agreement. Lenders review at you past mortgage payments and if there is bankruptcy in your history to determine if you are eligible or not.
The Obama's home loan modification plan not only is here to help the homeowner, it provides an incentive for the lenders who accept a modification agreement – they can receive $ 1,000 at the end of the year for three years, as long as the payments are current from the homeowners. This is done to encourage lenders to work with homeowners to see if they can get some modification agreements. Home loan modification lowers the monthly mortgage payment and the interest rate.