Homeowners facing foreclosure will have help next month. Last week, President Obama unveiled details of a $75 billion foreclosure prevention plan designed to help seven to nine million “responsible” homeowners remain in their homes with affordable mortgage payments. The official rollout date for the program is March 4.
It's a move backed by the National Association of Home Builders (NAHB). “We applaud the Obama Administration for unveiling its plan to stem the rising tide of foreclosures that is flooding the market with excess inventory and undermining overall home values,” says NAHB Chairman Joe Robson. “This is an important first step to address the acute supply problems confronting the housing market.”
The plan has three main components: a refinancing program, a mortgage modification program and actions to bolster the financial stability and mortgage support capacity of Fannie Mae and Freddie Mac, two leading lenders.
The Obama Administration believes its plan will enable Fannie Mae and Freddie Mac to refinance loans for four to five million homeowners.
Source: Nation's Building News, Obama Foreclosure Plan to Help Resolve Housing Crisis