Obama’s Plan
July 21st, 2009 by Lianne
The administration of Obama is broadening it’s mortgage refinancing programme to allow more borrowers hit hard by falling home prices to take part. Loans are now worth up to 125% of the value of their homes and people are now eligible to refinance their homes under the Obama foreclosure prevention plan. Previously, the limit was 105%.
How many more people will be drawn to the program now, however, remains questionable, especially since mortgage rates are on the rise but the administrations have predicated that 4 million to 5 million mortgage borrowers would be helped with the broadening of the programme. So basically it would seem giving mortgages to the people who cannot afford to pay a mortgage has increased the problems of toxic debt that started the banking problems in the first place.
This entry was posted on Tuesday, July 21st, 2009 at 12:29 pm and is filed under mortgages. 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.