The News Review:
- Bush Readies Mortgage Aid Plan
- Divorced From the Man but Not From the Mortgage
- Bush Says Administration Will Expand Mortgage-Relief (Update1)
- Transcript: President Bush’s Radio Address
- Jumbo Loans Are Reborn, But Terms Are Stiffer
- Troubled homeowners will get a tax break
Bush Readies Mortgage Aid Plan
Washington Post – Mar 29, 2008
8 million households currently have negative equity, due in part to the rise of loans that often required no money down. Negative equity becomes a problem when the homeowner can no longer make mortgage payments. If the homeowner had some equity, the loan could be refinanced or the house could be sold. But a homeowner who is under water cannot afford to do those things because the new loan or sale proceeds would not cover the cost of the existing mortgage. Treasury Secretary.
Related: Piggyback loans vs. mortgage insurance
Divorced From the Man but Not From the Mortgage
Washington Post – Mar 29, 2008
If you and your ex-husband go into default, the lender has the right to tell the trustee to foreclose on your property. Although you are no longer married to your ex-husband, your name is still on the note, and the original deed of trust remains in place. The bottom line is that your divorce lawyer should have required that your ex-husband refinance the existing mortgage within a set time. Appropriate enforcement mechanisms should have been included in your separation agreement, such as requiring that the house be sold if it couldn’t be refinanced. If your ex-husband refinances the house, that would completely relieve you of any further obligations under that old promissory note. So how did you manage to get a loan for the house where you live now, even though you’re still legally tied to that other mortgage? Lenders will show a degree of flexibility because your situation is not unique.
Bush Says Administration Will Expand Mortgage-Relief (Update1)
Bloomberg – Mar 29, 2008
He said the administrationisn't ready to “put forth a proposal right now. '' The Post cited an unidentified official as saying the planunder development won't likely be announced before Bush returnsfrom his trip to Europe next week. Bush has also urged Congress to pass legislation thatwould enable the FHA to be more competitive in the mortgagemarket and help stem the rising number of foreclosures throughits mortgage insurance and refinancing operations. House andSenate Democrats have offered competing plans. FHA Overhaul “Our priority is still for Congress to pass FHAmodernization, something they've neglected to do for nearly twoyears now,'' Fratto said. 31 to help people who have fallen behindon mortgage payments keep their homes through the FHASecureprogram, which enables homeowners with good credit ratings torefinance into government-insured loans.
Related: Piggyback loans vs. mortgage insurance
Transcript: President Bush’s Radio Address
FOXNews – Mar 29, 2008
My administration has taken action to help responsible homeowners keep their homes. In October, we helped bring together a private sector group called the HOPE NOW Alliance. HOPE NOW has helped streamline the process for refinancing and modifying mortgages, and it runs a national hotline to connect struggling homeowners with mortgage counselors. On Friday, I visited an impressive mortgage counseling center in New Jersey. At the center, I met with homeowners who have been able to get help, thanks to HOPE NOW. One of them is Danny Cerchiaro. Danny owns a home in New Jersey that also serves as a studio for his movie production company… In October, we helped bring together a private sector group called the HOPE NOW Alliance. HOPE NOW has helped streamline the process for refinancing and modifying mortgages, and it runs a national hotline to connect struggling homeowners with mortgage counselors. On Friday, I visited an impressive mortgage counseling center in New Jersey. At the center, I met with homeowners who have been able to get help, thanks to HOPE NOW. One of them is Danny Cerchiaro. Danny owns a home in New Jersey that also serves as a studio for his movie production company. When Danny and his wife learned that their adjustable rate mortgage was resetting to a higher rate this past summer, they became concerned about their financial security.
Jumbo Loans Are Reborn, But Terms Are Stiffer
Washington Post – Mar 29, 2008
correction strong {color:#CC0000;text-transform:uppercase;}Jumbo Loans Are Reborn, But Terms Are StifferBy Kenneth R. HarneySaturday, March 29, 2008; F11Your tax rebate check won’t arrive until May, but the economic stimulus plan’s new super-size loans for buyers in high-cost housing areas have hit the market. Depending on the location of the property you want to buy or refinance, you can now get a. You can also apply for loans designated for funding by.
Troubled homeowners will get a tax break
Milwaukee Journal Sentinel – Milwaukee Journal Sentinel (subscription… – Mar 29, 2008
? You do not get a federal income tax break just because the value of your home has fallen. The Mortgage Forgiveness Debt Relief Act of 2007 – which was enacted on Dec. 20, 2007 – applies to debt forgiveness related to refinancing mortgage debt, foreclosures or short sales, where the lender allows the homeowner to sell the home for less than the mortgage due. ? The tax break only applies to the principal residence or home. It does not apply to any debt that might have been forgiven on a second home, a vacation home, credit cards, a car loan or speculative investments in a string of condos in Florida or Nevada. ? Look for a Form 1099-C – Cancellation of Debt – from your lender. This form was to be sent out by Jan.