Loan Modification Pros: HOME LOAN MODIFICATION WASHINGTON

HOME LOAN MODIFICATION WASHINGTON

Loan Modification is indeed the best means for homeowners to secure their homes, particularly if facing defaults and foreclosure. As reports show, it will not be very long before HALF of Americans owe more on their mortgage loans than their homes are worth! With interest rates rising and housing prices crashing, refinancing is now a thing of the past for most. Without modifying the loan itself, it will not be much longer before MOST Americans are "underwater"!

Modifying a loan allows a homeowner to lower their interest rate, extend the term of the loan, or add any missed payments to the balance of the loan. A secure and successful modification can assure homeowners to stay afloat in the coming wave of foreclosures. By simply filling out a Free Loan Modification Evaluation homeowners can see if they qualify for a mortgage modification, or the new government programs.

With free information and services at their hand, Washington state homeowners should be jumping to secure the largest investment of their lives - their home. 

 

HOME LOAN MODIFICATION WASHINGTON

According to a new Deutsche Bank report, the percentage of American homeowners owing more than their homes are worth will nearly double to 48 percent of those with mortgages in 2011, an estimated 25 million homeowners.  Thousands of Washington homeowners are now in a position where the amount they owe on the mortgage exceeds their home's value, and all while house prices continue to fall.  Predicting half of all U.S. mortgages being underwater in 2011, homeowners across the country are in great need of loan modification.

It is estimated by Deutsche Bank that 14 million American homeowners had negative equity, owing more than their house is worth, at the end of the first quarter of 2009.  While housing prices continue to fall, about 27 percent of U.S. homeowners are now "underwater" on their mortgage.  At the current rate, nearly half of all American home mortgages will be underwater in 2011.  [Marketwatch, 8/06/2009]

  • 41% of prime conforming borrowers will be underwater by the first quarter of 2011
  • 46% of prime jumbo borrowers will be underwater by the first quarter of 2011, jumping from 16 percent at the end of the first quarter of 2009
  • 41 percent of prime conforming loans will be larger than their properties' value by the first quarter of 2011. 
  • 46 percent of prime jumbo loans will likewise be "underwater," a jump from 29 percent.   [Reuters, 8/05/09]

After three years of price drops, this does not look comforting for stabilization in the U.S. housing market.  Deutsche Bank reported that decline in home prices will have its greatest impact on prime borrowers and "conforming" loans meeting the guidelines of Fannie Mae and Freddie Mac.  Prime conforming loans are commonly less risky due to stringent requirements, and make up two-thirds of mortgages. 

Such a jump in these markets is significant as they make up the largest share of the total mortgage market, with Prime jumbo loans making up 13 percent of the total market.  While prices continue to fall, more and more Washington homeowners will go underwater on their mortgage, making it more difficult to refinance, and leaving a Home Loan Modification the best solution.

With housing prices dropping, interest rates rising, and more and more homes underwater, refinancing is no longer a viable option, and without modifying these loans with a modification, half of America is likely going to lose their homes.  Mortgage mitigation allows for a borrower to permanently change the terms of their mortgage, allowing for affordable monthly payments.  Modifying a home loan can lower the interest rate, extend the term of the loan, or add any of the borrower's missed payments to the balance of the loan.  With a free loan modification evaluation, homeowners can immediately see the savings available to them under various government programs, and begin determining which plans and savings they best qualify for.

Washington homeowners can save hundreds a month by getting a mortgage loan modify or mortgage refinance with President Obama's "Making Home Affordable" plan. All homeowners now facing foreclosure on their home, or those who are about to be, should immediately begin exploring all the options available to them, including the new government programs designed to help you get a successful loan modification.

RELATED BLOGS:
Free Washington Loan Modification Evaluation
Loan Modification, Washington

 

Comment balloon 0 commentsRateswire.com Rateswire.com • August 12 2009 02:25PM

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