My little obsession on home loan rates
The housing aid plan will allow Freddie and Fannie customers to refinance, in spite of having less than the required 20 percent equity in the home. A homeowner with a mortgage loan not backed by those institutions might instead be able to modify the loan. For consumers who qualify, monthly mortgage payments will be decreased to 31 percent of gross income. The mortgage payment would maintain those modified terms for five years, then will slowly be raised again. To qualify for a home mortgage adjustment, banks will consider the amount of debt a consumer has relative to his income.