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Homeowner Affordability and Stability Plan February 18 th , 2009
Eligibility Requirements Owner occupied  primary residence only Monthly payment exceeds 31% of gross income Behind or current on payments Fannie Mae or Freddie Mac conforming loans New first cannot exceed 105%  of market value Second, if any, must agree to remain second
How it works Lender must agree to reduce interest to reduce monthly payment to 38% of gross income. Government will share cost of a further reduction of payment from 38% to 31% of gross income. Servicers receive $1,000 for reworking a loan and $1,000 for each year the borrower remains current. Borrowers receive $500 if already current and up to $1,000 per year for remaining current.
Borrower Questions Will the program lower my principal?  No. Will the program lower my payments?  Maybe. What will my new terms be?  15 or 30 year fixed. What will my new rate be?  Up to lender. Will I have to pay points and fees?  Up to lender. How do I know if I am eligible?  How can I apply? - Contact your lender after March 4 th .
Is that it? Program details will be released on March 4 th . Stay tuned
Thank You for choosing Altera Real Estate!
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Stability Plan Feb

  • 1. Homeowner Affordability and Stability Plan February 18 th , 2009
  • 2. Eligibility Requirements Owner occupied primary residence only Monthly payment exceeds 31% of gross income Behind or current on payments Fannie Mae or Freddie Mac conforming loans New first cannot exceed 105% of market value Second, if any, must agree to remain second
  • 3. How it works Lender must agree to reduce interest to reduce monthly payment to 38% of gross income. Government will share cost of a further reduction of payment from 38% to 31% of gross income. Servicers receive $1,000 for reworking a loan and $1,000 for each year the borrower remains current. Borrowers receive $500 if already current and up to $1,000 per year for remaining current.
  • 4. Borrower Questions Will the program lower my principal? No. Will the program lower my payments? Maybe. What will my new terms be? 15 or 30 year fixed. What will my new rate be? Up to lender. Will I have to pay points and fees? Up to lender. How do I know if I am eligible? How can I apply? - Contact your lender after March 4 th .
  • 5. Is that it? Program details will be released on March 4 th . Stay tuned
  • 6. Thank You for choosing Altera Real Estate!