Yesterday marked an important day for those looking for some housing relief: President Obama unveiled 2 separate housing relief plans that could provide FHA borrowers and service members with some breathing room.
Today’s rundown in the San Diego Union Tribune gave some easy to understand facts about the program.
Here are the basics for Plan 1, for FHA borrowers:
• Estimated that 2-3 million FHA borrowers could qualify
• Upfront mortgage insurance fee on loan balance goes from 1% to .01%, for loans originating before June 1, 2009
• Fee for annual loan balance goes from 1.15% to .55%
• Potential savings: $1,000/year per borrower
Here are the basics for Plan 2, for Veterans and current service members:
• Major loan servicers will conduct review of those wrongly foreclosed upon, and provide compensation
• Refund to service members who were wrongly denied loan modification with lower interest rates
• Relief for service members forced to sell their homes for less than they were worth
• Pay $10 million to “Veterans Affairs fund that guarantees loans on favorable terms”
• Extend certain foreclosure protections
If you think you qualify for one of these programs, or have any real estate related questions, Imagine San Diego realtors would be happy to speak with you today!