The Federal Government has created several programs to help homeowners facing foreclosure, their newest program, introduced by the Bush Administration, is concentrated on mortgages backed by Fannie Mae and Freddie Mac. Due to the size of these companies this program has the potential to reach millions of struggling homeowners, but as many government programs this one appears limiting.

To qualify for this program you must have a mortgage backed by Fannie Mae or Freddie Mac, and you must also be 90 days behind or more on your mortgage. Even if you fall under these two categories you may still not qualify for help.

If you have a low income, high amount of equity in your home or if your home’s current market value exceeds their mortgage balance by more than 10%, you are considered too well off to qualify for this program. Once again the plan that is created to help many, in reality can only help a select few.

This entry was posted on Monday, November 17th, 2008 at 5:51 pm and is filed under Foreclosure. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.