Update on Loan Modification ProgramJust recently, All My Sons of San Antonio movers learnt that the number of homeowners dropping out of the $75 billion Obama administration’s main mortgage assistance plan is growing, according to online news. Officials are still insisting that the program is helping people and the housing market, critics are saying it’s just delaying the increase in foreclosures.
This mortgage assistance program was designed to lower borrower’s monthly payments by reducing mortgage rates to as low as 2% for five years and extending the loan terms as long as 40 years.
As of last month, over 299,000 homeowners received permanent loan modifications according to the Treasury Department, which equals to 25% of the 1.2 million homeowners who started the program back in March 2009. These people are paying about $516 less on their monthly mortgage. To complete the mortgage assistance program, homeowners have to pay their payments on time for three months. About 277,000 homeowners, 23% of those enrolled, have ‘dropped out’, which is up 79% compared to the month before.
A lot of homeowners are just caught in the middle, they can’t finalize the process and stuck dealing with a lot of bureaucracy. They aren’t getting answers and they are stuck waiting.
Allegedly, new bank employees are being hired to deal with this mortgage assistance program as well as new centers popping up to help more people. There are also foreclosure prevention events around taking place around the country.
At first, a lot of the participating banks allowed borrowers to sate their income verbally and provide proof of their income later, so that slowed if not blocked the system because many homeowners didn’t provide complete documents and some even said their information was lost. So with loan modifications that are starting June 1, 2010, officials have asked banks to collect two pay stubs at the beginning of the process.
If you’re getting nowhere with your loan modification program and you’re face with a foreclosure or a short sale on your home, let the local San Antonio movers help you move to a different location. We’ll take care of all the details that moving day entails from disassembling furniture to assembling everything up again in your new home. We’re backed by four generations of moving experience, so you know you’re in good hands when your moving with the San Antonio moving specialists. We can also help you get professional moving boxes right to your door so you don’t have to worry about collecting old boxes from big box stores or supermarkets. Trust your San Antonio movers for your foreclosure or short sale move, we’ll make the event a little less stressful.