HOPE NOW to Help One Million Subprime Mortgage Holders
Sunday February 24, 2008
A reader asks:
At the first of the year there was much talk about the government locking the adjustable rate mortgages for 5 years. ...I haven't heard anything else about the proposal and can't seem to find any information about it. Was it passed and if it was how do we make sure our mortgage company follows it.I believe you are talking about the HOPE NOW program. HOPE NOW is a cooperative effort between the government and 90% of subprime mortgage lenders to help homeowners who may not be able to make higher mortgage payments after their interest rate resets. In December, HOPE NOW members agreed on a set of industry-wide standards.
Here is the website link HOPE NOW to see if you are eligible. Here is a FACT SHEET to find out more about this program and other elements of the President's Tax Rebate Plan.
What It Means to You
Many analysts are skeptical that HOPE NOW will really make a dent in the Subprime Mortgage Crisis. That's because an estimated 450,000 subprime mortgages are due to reset each quarter - double the amount HOPE NOW attempts to help. (See Foreclosure Rate Double a Year Ago, February 4, 2008)However, if you are one of the households that HOPE NOW helps, then it will mean a lot to you.
Comments
Everyone is talking about helping people that have an ARM but what if the value of your home have dropped, how can a person refinance if they just don’t have the thousands of dollars to refinance.
Hi Laura,
Have you called the folks at HOPE NOW? They may be able to help you work with the holder of your mortgage to negotiate something. No one wants to see you lose your home.
Here is there number 1.888.995.HOPE.
Kimberly
Where is there help for the couple who makes their mortgage payments with not so perfect credit but knows that in the near future they won’t be able to.
Hi Monica,
Here is a link to an updated article I wrote that has more programs.
http://useconomy.about.com/b/2008/10/24/help-for-homeowners.htm\
Kimberly