When Does Obama’s “Home Affordable” Refinance Program Really Start, and How Will It Work?

102 Comments so far

1. foreclosure hope on March 27, 2009 8:29 pm

   I really hope Obama is able to pull this thing off. The amount of Homeowners defaulting on mortgages is starting to go beyond scary.

2. joejohnson on March 31, 2009 10:44 am

   For those homeowners unable to qualify for a loan modification but wanting to keep their home,follow H.R. 1106 & S.61.The bill refers to helping homeowners through the bankruptcy courts.See the attached article:

   The banks have agreed to work with President Obama to help the economy get back on its feet,Bull s–t.The banks/mortgage companies have the three stooges (Senators Bayd,Kyl and Specter) in their pockets.Look up how much money these guys get from Wall Street and you’ll see why they are not helping Main Street.The legislation that will allow homeowners access to the courts is not what these Senators want for their true constituents(banks/mortgage cos/investment firms/etc.).If their actions or inactions cause people to lose their homes the people need to get rid of these guys.Call them,write them,email them and let them know that what they do or don’t do regarding this legislation will determine their political futures.These guys need to represent Homeowners NOW !!

3. Peter Ccollins on April 2, 2009 4:24 pm

   People forget that the loan modification program is “voluntary” for the banks. They DO NOT have to participate, and to date, most have chosen not to join. The incentive is not large enough and they are already overwhelmed.

4. Eileen Leyendecker on April 3, 2009 9:19 pm

   From my understanding if you have a Fannie Mae or Freddie Mac loan or your lender received TARP funds; they do have to participate in the “Home Affordable Modification Program” and the lenders get paid well to do successful loan mods. The key word being “successful” as so many of the loan mods done in the past year (over 55%)have resulted in the homeowner falling behind again. I agree that lenders are overwhelmed and don’t understand how to implement the program yet but once they figure it out their greed will kick in and they will all get on board with Obama Mods.

5. THOMAS on April 20, 2009 10:30 pm

   Most of the lenders that I speak to wants to add points for
   small investment properties one to four units. I read on
   another board “However, borrowers whose loans are owned or securitized by Fannie Mae may be eligible to finance all closing costs and obtain a small amount of cash (2% of the mortgage amount not to exceed $2,000) through the refinance
   if there is sufficient equity. For borrowers whose loans are owned or securitized by Freddie Mac, transaction costs
   (not to exceed $2,500) such as the cost of an appraisal or title report, may be included in the refinanced amount.

   All the lenders that I speak to wants to add points to the
   for small investment properties one to four unit that are
   now included in this program.

   I can’t find anything specific on the government’s sites.

6. Arlington VA Homes on April 26, 2009 7:17 pm

   Thanks for sharing the details.

7. ben on May 1, 2009 5:30 pm

   I was told today by Wells Fargo that they could not qualify me for the H.A.R.P program due to the fact that I have mortgage insurance on my property. This seems interesting seeing that a huge percentage of borrowers like myself have it. How can they disqualify you just because you have no equity?? I thought that was the point of the program, to relieve those who owed more than the value of their home. Again, this was a Wells Fargo policy.

8. Eddie on May 2, 2009 5:27 am

   I find it interesting that Citimortgage is allowed to charge $100.00 non-refundable fee just to complete the application but the website that the government has set up to provide information about these programs warn against scams. The government’s website actually states “Beware of any person or organization that asks you to pay a fee in exchange for housing counseling services or modification of a delinquent loan. Do not pay – walk away!” I called Freddie to ask if Citimortgage is allowed to charge a fee just to complete the application and I was told they are allowed.

9. CHARLES J PARIS on May 6, 2009 12:11 pm

   i am trying to refinance with my mortgage company, PHH mortgage company. I qualify for the obama freddie mac refince program, however my mortgage company told me on May 5th, that they do NOT have the information yet on this program.

   should they have this information by now. if yes how would you suggest i proceed?

   please advise

10. Loan Modification Zoom on May 6, 2009 4:48 pm

    Here it is May, and homeowners and lenders are just starting to truly participate in the Making Home Affordable plan. Obama’s goal seems ambitious; helping 8-9 million homeowners avoid foreclosure. Yet at the same time, there are far more Americans that need help! Lets hope that more can be done for homeowners facing foreclosure.

11. Turned Off by Wells Fargo on May 7, 2009 10:04 am

    I’m trying to go through the HARP program through my servicer (Wells Fargo), and i’m really disgusted!!! GREEDY, GREEDY, GREEDY!!! They are trying to max out the closing cost allowance, they want almost $500 up front for an “application fee”, and they make you “pay” for your lower interest rate in the form of “points!!!” The lower your rate, the more points you have to pay. These points have to be paid out of pocket (who has that amount these days???)….since they make sure they use up your $2500 alloted closing cost fund which can be rolled into your loan. UGH…. it feels so slimy, i’m tempted to keep my current rate just so i don’t give them the satisfaction!!!
    I called Freddie Mac about this…and they don’t seem to care how the programs are being implemented. The FM man told me that the banks have found “loopholes” to allow themselves to profit from the front and “back” door. There making money on both sides in these programs!!! I personally won’t shed one tear of sympathy when they crash and burn like the others!!!

12. Sarah Richards on May 7, 2009 2:18 pm

    I am also having problems getting a HARP loan through my lender, Sovereign Bank because I have PMI.
    First, they told me that it was a loop hole that the policy makers had overseen and was soon to be corrected, now my bank says, forget it ! What is the point of the program then ?
    Has anyone had any success ?

13. Ann Waters on May 7, 2009 4:00 pm

    My lender (National City) also wants to charge me points to re-finance my loan. They estimated that closing costs would be approximately $7500 on a $170,000 mortgage. I don’t trust these guys.

14. It's all in a name on May 7, 2009 5:09 pm

    I think that the HARP Program in name has promise. The problem that I see, is that there are no strong guidelines to implement the program. There is a phrase I like to use — don’t just talk the talk but walk the walk.

    I thing the Obama Administration wants to help. I think the service providers want to “act as if” they are helping but there aren’t any real incentives or better yet any consequences if they don’t comply.

    On top of all of this, in my humble opinion, the scope is so large, and no one has set in place a ramp for the program to work or measure its success.

    In the meantime, I just keep talking to my service provider, paying them when I say I can, and hope that my kids and I can stay in our home. I’ve worked for 37 years (I’m 47 years old) and never imagined I would be in this boat.

    Hang in there. Don’t give up.

15. Ed O'Donnell on May 10, 2009 2:34 pm

    My servicer is National City. They can never find my paperwork that i made application. Ann-at least you have a price from them. I’ve received nothing but lies, misdirection. Their lawyers lift my bk stay tomorrow to screw me over. I thought all foreclosure proceedings were to stop while you were being considered for the program. Right…..i am so depressed over it.

16. Loophole on May 13, 2009 1:50 pm

    I am planning to refinance my condo with my original lender (WAMU now Chase). Same thing with these points.The loan representative told me that condos require special interest rates therefore in order for me to get the interest rate for a single family home, they are charging me .75 point = 1500 dollars. Interest rate they are providing me after buying point is 5.125%, 30year fix, 750 application fee, 350 which will be placed in my closing cost. Total closing cost will be $3,293 dollars. These are “rough” estimates they are giving me. This is for a 175K loan. What does everyone think?

17. All in a Name on May 14, 2009 5:45 am

    Loophole,

    Hard to say if it’s worth it without knowing what your current interest rate is. I would roll over and die for 5.12 at this point. I would say if you have access to the closing fees to lock in.

18. mike on May 15, 2009 11:16 am

    need refi before current mortgage ajust upside down now. do not have fannie nor freddie. up to date with my mortgage payments. if someone have any info please email me urgent cant hold on about to sink..

19. mike on May 15, 2009 11:17 am

    anyone with info for me please email me at mnj2003@comcast.net

20. joe on May 23, 2009 6:37 am

    countrywide told me my house is worth 20k less than zwillows estimate, when I asked where they got this value they said on a website only they have access to! talk about BS I am eligible under zwillows value for the 105-80% refi, has this happened to anyone else? btw my congressman ron klein said he couldnt get involved in a personal financial matter, unlike giving my tax dollars to greedy lying banks

21. Lutetia on May 24, 2009 5:07 pm

    I am trying to get help to save my home, but I am having limited success. A company by the name Prevention Foreclosure Specialist of Florida is trying to convince me to give them 1,500.00$ and they could save my home. Has anyone heard of this company? If not how can I find out- if the company is reliable and trustworthy. Please help me, I don’t want to be part of a scam.

    Lutetia, SC

22. Kim on May 25, 2009 9:11 pm

    Get out of your home if you are not paying. You deadbeats took a chance and you lost. This is revolting

23. Eileen Leyendecker on May 26, 2009 8:36 am

    Nice that Kim has not experienced hardship and can sit on the judgement seat for the rest of the world. If everyone that is experiencing hardship; loss of job, illness, divorce just packed it up and moved out of their home banks would have a far bigger problem on their hands and so would everyone else. Don’t forget that greedy investors and lenders made these bad loans - if they would have stuck to more stringent guidelines and not given anyone with a halfway decent credit score and a pulse a loan we wouldn’t be having this conversation.

24. It's all in a name on May 26, 2009 4:22 pm

    Eileen,

    You’re assuming that “Kim” has a vested interest in this topic. She is most likely a Bush/Cheney supporter who is still upset about the change of tides and is trying to side rail any efforts for those “revolted” by the past 8 years who need to regain footing. Please remember that the people that boast the most regarding any topic, know the least about what they speak. Don’t let her bother you or this forum. We are living in the solution, trying to help each other out. Anyone else that has an agenda should go elsewhere. I hear Rush had a great speech today…

25. Cory on May 27, 2009 12:32 pm

    My lender GMAC has denied me both the modification and refi options. They said I have sufficient income for the modification and I already pay PMI so they can’t refi me (GMAC internal policy - same issue as someone above stated). Its amazing that the people who really need the help can’t get it. Does anyone know of any other avenues to get a mortgage refinanced when there has been significant equity loss.

26. Colleen on May 28, 2009 5:50 am

    My lender is Countrywide, my loan is backed by Fannie Mae, we are “Under Review” for the loan mod. We jumped through all the hoops, but our foreclosure sale date is less than a week away. We call them and they say “there is nothing you can do right now, you just have to wait”. We lost our entire business in 2008 and are just starting the process of building it back up. People like Kim are just idiots! We are not deadbeats, we have 4 kids an another due in July, we went through a really difficult time this past year and this Make Home Affordable plan is our only chance at staying in our home. Please pray for us, that something happens in the next week! They moved our foreclosure sale date once, but I am very nervous. We have a lot of possessions to move!

27. Eileen Leyendecker on May 28, 2009 7:37 am

    Colleen, call everyday and ask them to postpone the Sheriff Sale until the loan modification is completed. Call 800-669-6650 ask to talk to someone in the Home Retention Department about your loan modification that’s in process and that you have a Sheriff Sale scheduled that you need to have postponed. Ask to talk to a supervisor if you need to. Your lender is now Bank of America and the largest in the nation - they are completely overwhelmed so you need to call everyday. I’ve been successful in postponing Sheriff Sale’s with Countrywide/Bank of America but they usually won’t postpone it until 5 days before the sale. I wish you and your family the best.

28. Colleen on May 30, 2009 8:09 am

    Just an update, Countrywide/BofA just moved our sale date today to July 15. I think they know what they are doing. Thank you Eileen for your advice! I will let you know what happens!

29. All in a Name on June 1, 2009 5:53 am

    Colleen,

    That is awesome! Hang in there!

30. Anna on June 1, 2009 7:20 am

    For the person who commented earlier on trying to refinance through PHH Mortgage. I have been told the same thing, that they do not have “approval” yet from Freddie Mac to start processing any refinances. I spoke directly to Freddie Mac and they stated there is no approval needed from them all the information the mortgage company needs was rolled out months ago. They suggested I get a HUD counselor involved (there are links to find one in your area on Freddie Macs website) and then contact PHH with the help of the counselor and tell them they need to do the refinance or give me the names of approved lenders that will do it instead of them. I’ll let you know how it turns out……

31. Kathy Hunter on June 1, 2009 11:14 am

    I also hold my mortgage with Wells Fargo and back in early April I called them to inquire about this new plan. I made mention to them that I had just gone through a divorce and needed to get my ex off the mortgage and in turn it was critical that I lower my payment since I now have only one income. I was told that I was eligible for the program and sent all of the paperwork. Needless to say I was told they were incorrect - even though I have a Fannie Mae loan I am not eligible because I cannot remove my ex from the loan. I find this to be confusing because the whole point of this program is to make sure people can continue to pay their mortgage and stay in their homes. If there is a divorce or death I think that this program should be applicable. I live in Florida and have never been late on my mortgage and have good credit but I need to try and lower my payment. Has anyone heard if there have been any changes in regards to divoce and the HARP program

32. Eileen Leyendecker on June 1, 2009 11:57 am

    Kathy, lenders are not obligated to remove borrower’s from the loan and they won’t. If you want to remove him you will have to sell or refinance. I would re-submit your paperwork leaving him on the loan but only using your financial information for qualifying and get the loan mod done so you can get a payment that you can afford. Remember you will need to provide a hardship letter and the hardship would be “divorce” and whatever else. You know the routine for all the other required documents and they will all need to be updated. Good luck.

33. Kathy on June 1, 2009 12:46 pm

    I appreciate your feedback and at this time I think that it is going to be easiest for me to sell this property. Unfortunately per my divorce degree I need to get my ex off the loan within 2 years and from a financial standpoint it makes no sense to pay the closing costs and then have to refinance once again in 2 years

34. Eileen Leyendecker on June 1, 2009 12:50 pm

    okay, just so you know if you qualify for a loan modification there are no closing costs the lender is simply modifying the terms of your existing loan.

35. Kathy on June 1, 2009 12:54 pm

    that is good to know - thank you for letting me know this

36. Michael A on June 1, 2009 6:13 pm

    I understand that under Fannie Mae, there are two refinancing options. The first is the DU refi plus, which allows you to refinance with any lender, and the refi plus, which only allows you to refinance with your original lender. However, when you go to the makinghomeaffordable.gov website, after you answer the initial screening questions, and you are informed, “YES, YOU MAY QUALIFY FOR A HOME AFFORDABLE REFINANCE,” you are directed to call your mortgage servicer or lender. I called my servicer, Citi, today and after I answered the standard questions about income, assets, debt, etc., they told me that I would get a letter in about two weeks laying out my options. My question is will one of those options be to use another lender? If not, then how do I use the DU refi plus program if I am directed to go to my servicer?

37. roberto on June 4, 2009 5:53 am

    Wells Fargo used stall tactics until they could find a loop hole to avoid participating in the “Home Affordable Refinance Program” (HARP). Wells FArgo sayas they can add their own qualification criteria and have done so. Anyone who carries private mortgage insurance is ineligible according to Wells Fargo rules. My understanding was that the HARP was intended for folks who do not have enough equity to get a refinance … so Wells fargo has excluded everyone in that category by requiring non-PMI loans.

38. Shane on June 4, 2009 2:11 pm

    Okay hopefully I can help clarify several issues for some of you.

    HARP has 2 compnents. DU Refi Plus (Fannie Mae) and Refi Plus (Freddie Mac). If your loan is a Fannie Mae then you can go through a variety of different lenders to get this refinance done. Expect fees, it is still a refinance and nobody goes to work to work for free, but make sure the fees are reasonable. You may or may not need an appraisal, that is determined by DU (Desktop Underwriter) Fannie’s underwriting software.

    If your loan is a Freddie Mac then you MUST go through your current servicer.

    PMI - If your loan has PMI you cannot participate in this program. This is not because of any lender policy regardless of what they tell you. It is because the companies that offer these insurance policies to the lenders (there are several) have opted not to participate. Because they have not received TARP funds and they are private companies there is no way to force them to. Rumor has it there is a program coming in the summer for people who have existing MI. Again that is rumor but could prove true, cross your fingers.

    If anyone has questions feel free to contact me at sbutehorn@xmission.com I am a mortgage broker and do these refinances currently but I am limited to the State of Utah. I will however gladly answer anyone’s questions to the best of my ability.

39. Roberto on June 4, 2009 3:15 pm

    Thanks for the info Shane.

    However, I don’t sse how the HARP can help anyone then if those who have a LTV between 80% and 105% are the very same ones that are required to carry PMI. The only folks likely to be free of PMI have more than 20% equity which means they can get refinanced without the HARP.

    It was my understanding that the HARP was intended to help those who had less than 20% equity. It is a catch-22 it seems to me. I would like to know how many homeowners have actually been helped by the HARP … it was touted as being able to help 4 million homeowners.

40. Shane on June 5, 2009 2:00 pm

    Currently the targeted borrower for HARP is the person who has an 80% first and 20% second. These people took this type of financing to avoid PMI and now it is benefiting them.

    As I said let’s hope for a program this summer to help those of us with MI (myself included) and I would like to see a program that benefits self employed (again myself included).

41. Casualty of Citi on June 9, 2009 10:58 am

    For anyone who has made it through CitiMortgage’s screening process for the Home Affordable Modification program (under the Dept of Treasury March 4, 2009 initiative) congrats first off, and secondly don’t hold your breath. CitiMortgage is now stalling everyone in the “appraisal” stage of the process under the guise of a third-party appraisal service which they will not disclose regardless of pressure. This appraisal is actually a computer-generated estimate based on publicly available facts and figures from your local market and county assessor’s office.

    Speaking from first hand experience, I have now gone into default following CitiMortgage’s advice awaiting the only missing part of my qualification for the Home Affordable Modification program, namely, the appraisal. What initially was a two-week process turned into 5, which conveniently put me into default and therefore out of the running for the modification program.

    So for those of you out there who think you’re in the home stretch- BEWARE! CitiMortgage will string you along. For your own sake, if you are told by CitiMortgage that you are pre-qualified for the modification program as I was, please do not think that there is a light at the end of the tunnel.

    If anyone out there has actually successfully modified their mortgage through the Obama program, please do share that experience with us!!

42. @Casualty of Citi on June 12, 2009 12:28 pm

    The dude speaks the truth!

43. roberto on June 23, 2009 12:19 pm

    The refi program does not work. We are almost half way through the year and less than 0.3% of this year’s expected home refis have actually been processed. I would grade the progress/success a big fat “F”!

    Details here -

    http://money.cnn.com/2009/06/22/real_estate/Obama_refis_slow/index.htm

44. Brian on June 23, 2009 1:17 pm

    U.S. Bank has found a loophole in the program with their lender-paid PMI loans. I am 100% eligible except my mortgage, initiated in 2005, has PMI paid by U.S. Bank instead of by me. Now U.S. Bank says I’m not eligible for refinance solely because of this fact.

    Who should I contact about this loophole that flies in the face of the spirit of the program? My Congressman, a Senator, Obama? I would probably get better results spitting into the wind.

45. Greg on June 24, 2009 6:53 am

    I’m in the process with Citi. I was told originally they were required to contact me in some way every 3 days - stopped happening on the 6th. So, I followed up 4 weeks after completing all forms, appraisal, etc. My rep said there were 2 things left to do, but I wasn’t high priority since I’m current. However, she got back to me the next day. But in the meantime, I went from no cash at close & 1/2 a point to 2 points & paying the 1.5 point difference in cash at close. I said that’s not in my original “locked in” agreement & she said she’d get back to me that day about the change - that didn’t happen

46. Colleen on June 24, 2009 7:17 am

    “Colleen on May 28, 2009 5:50 am

    My lender is Countrywide, my loan is backed by Fannie Mae, we are “Under Review” for the loan mod. We jumped through all the hoops, but our foreclosure sale date is less than a week away. We call them and they say “there is nothing you can do right now, you just have to wait”. We lost our entire business in 2008 and are just starting the process of building it back up. People like Kim are just idiots! We are not deadbeats, we have 4 kids an another due in July, we went through a really difficult time this past year and this Make Home Affordable plan is our only chance at staying in our home. Please pray for us, that something happens in the next week! They moved our foreclosure sale date once, but I am very nervous. We have a lot of possessions to move!”

    June 24, 2009
    Just wanted to update, above is my Original Post about our situation, we were waiting to get a loan mod from BofA, we have a note carried by Fannie Mae. We didn’t get the loan mod yet, however we got a package from them for a 6 month payment deferral program. Our payment is 1/2 for 6 months, I think it is a kind of trial period for us. During that 6 months they are going to still try to get the loan mod done, IF we pay on time with the reduced payment!

    B of A Rocks!

47. Casualty of Citi on June 30, 2009 9:12 am

    Collen, you probably agreed to something you shouldn’t have. The package has two options at the end: Option A- Bank of America (who does not rock)will require a balloon payment of all that money they deferred over the 6 months at month 7; or Option B- the 1/2 that you weren’t paying is now rolled into your principal along with B of A’s fees.

    They’re not doing anything nice for you although it may seem that way. When they eventually turn you down, you now owe expontentially more on your principal than before.

    If you were lucky or smart enough to get something in writing from them that modified the terms of your mortgage (which is required by law under the Statute of Frauds), re-read it very carefully to see where the 1/2 you aren’t paying now, went. You will most likely be unhappily surprised.

    Best of luck!

48. Julia on July 4, 2009 10:24 am

    Hello: I am one that has been going through with the new save our homes / make our homes affordable program. Here is the catch…….for me anyway. I have sent all requested docs 4 times via overnight signature required, and received……but yet they never received my docs. Was told because I did not comply I was not going to be considered anymore for the help plan. Well I fought this, and to my surprise the put me on a forbearance plan for three months. This making my payment higher, go figure. My original payment was 821 per month, exploded to an interest rate that was not affordable from 7.25 to 10.5 making my payment over the top overnight. asked for a mod. the did this last Feb. 2008 lowered it to 972. but added in the property taxes, because they were never in the loan, (bad mortgage broker who screwed me big time) sub prime loan and a crook. anyway it went from 972 to 1500 per month and i could not afford it any longer, so feel behind. when they offered the forbearance it went to 1142 for three months. now under Obama’s plan i am also on that for three months and the payment went up again to 1173, so how is this affordable if each plan keeps getting higher and higher? so waiting on the mod. to see what the payment will go up to for a house that is no longer worth what i owe…….go figure. lets see if they are really going are going to forgive any of that………highly doubt it. like someone said this is just a waiting game to see if the lenders will make this fail as i believe it will that is why the 3 month waiting game and then another 2 moth waiting game again………for what a payment I will not be able to afford again? even higher like the forbearance to Obama’s plan did…….wtf

49. Cassedy on July 8, 2009 2:45 pm

    The home afforable program for a refiance under a Freddie Mac is a joke! I qualify as A FREDDIE MAC LOAN. The loan started with WAMU not a broker. Yet, Chase will not refiance the loan under the “Making Home Affordable program.” I have tried many times. There is less than 10% equity in the property. I am stuck with an interest only loan. I wish there was some option to do a stream line refinance with low - doc.

    What about a Class action Lawsuit against Chase for clients who are trying to refinace under “Making Home Afforable” under Freddie Mac.

    Any suggestions!

50. jojohnson on July 8, 2009 3:00 pm

    Obama should get the money back, tarp and stimulas monies are not helping the homeowners. the benefit is to the banks and loan servicers while the taxpayers (that are losing their homes) are footing the bill. Making Home affordable program is a joke. Obama and Geittner had the opportunity to pressure Senators into voting for legislation that would have allowed judges to modify mortgages but both guys cowered and backed off. This proves that wall street still controls mainstreet and the elected officials supporting wall street (kyl, Bayh, martinez and now obama) are not doing their jobs–representing the people. Next election vote for the new person and get tid of the wall street lackeys that are in the house and the senate and perhaps even in the oval office.

51. CitiVictim2 on July 19, 2009 6:53 pm

    I have been dealing with CitiMortgage and after initially being told that we’re “pre-qualified” for the Home Affordable Modification Program we were told that our case must be completed by July 28th. There would be an “appraisal” done and that no proof of income would be required until sometime within 60 days AFTER approval(strange, huh?). When I called to check on the progress of our approval, I was told that there was already an appraisal done in May 2009 but now they needed the newer appraisal (as the values have continued to fall) and it not only had been completed yet, I had also been misinformed, the approval process can go well beyond July 28th. They also again wanted me to submit all my financial info because they “updated” their system and all my previous info was lost.

    After my last conversation with Citi, I would have to agree, they are stalling people. They gave us a false sense of hope and now they are stalling…but why? Why are they stalling, misinforming, and playing around with people. We just want to know what to expect.

    Has there been even 1 approved case in this program? Are we being set up for them to do something else to us? It’s just frustrating and we’re ready to give up.

52. joe johnson on July 19, 2009 9:19 pm

    if you are trying to keep your home contact a HUD approved conselor and then start filing complaints with treasury, BBB, your senator, your governor,ftc,and anyone that has to do with banking regulations. the real problem is the wall street lackeys-kyl, martinez,bayh, specter and others have been joined by obama and geittner in supporting wall street instead of main street.banks are running this country and most of the homeowner programs are dictated by these banks for the banks benefit.next election vote for the other guy and lets get rid of the paid for politicians

53. Billy on July 23, 2009 5:50 am

    Since the LTV has been increased from 105 to 125 percent, I am now finally qualified to refinance and hoping to get a lower interest rate and in the process lower my monthly payment. I spoke with my servicer but they told me that Fannie and Freddie has not set the interest rate yet and that they will call me back when the rate has been set. So I called Fannie but they told me to call back my servicer since the servicers are the ones setting the interest rates for their customers. I am hoping that the banks are not using the money the government set aside designed to help homeowners.

54. Diane on July 26, 2009 4:31 pm

    I qualify for a home affordable refinance loan. Wells Fargo said denied (which is total crap, read on), because it was not the original lender.

    I originally got the mortgage with Home Finance of America but it was backed by Freddie Mac. Home Finance sold it to Wachovia. Wells Fargo merged with Wachovia. I called and called and called to find out why I was denied. It took them 2 1/2 hours of repeated calls to come up with “not being the original lender” crap.

    I finally reached my way to Mary Coffin Vice President of Wells Fargo Mortgages. I advised her that per Fredie Mac Bulletin 2009-5 that the new mortgage (the HARP refinance) does not need to be with the original lender! They have subsided after a week, now have updated “their system,” I now qualify.

    I have emails from Freddie Mac as well stating just that and forwarded them on to her. I have a person from Capital Management from Freddie Mac siding with me. I also have a compliant with Freddie Mac. I have emailed my state senators, the president, cnn, hud (vance.t.morris@hud.gov), federal housing financing agency (patrick.lawler@fhfa.gov), the latter two are representatives that have testimonies on http://www.house.gov/apps/list/hearing/financialsvcs_dem/hhr022409.shtml - you can find Chase, JP Morgan Chase, Citigroup. LET ME TELL YOU, IF YOU ARE BEING DENIED BECAUSE YOUR CURRENT SERVICER WAS NOT THE ORGINAL LENDER - IT IS GIVING YOU CRAP. Google the names and find the emails for the people representating those banks (the banks listed above have the names at the link I provided - testimony dated 02/24/2009) and don’t stop until you find them, a vice president of president of the mortgage for the bank.

    As of now, I am eligible and fighting for a “locked in rate” when I originally applied on Aptil 28th but then got the denial letter dated June 30th. I have proven to them that I was eligibile then and the right thing to do, the human thing to do, is to abide by what the President of the United States Administration has offered the People. A HOME AFFORDABLE REFIANCE PROGRAM for those who qulaify.

    GOODLUCK PEOPLE!!

55. Bruce on August 3, 2009 10:11 am

    The Home affordability program has only done one thing - fill millions of home owners with false hope. The program does not seem to work at all. Does anybody know of 1 single loan mod that has been approved and implimented?

    I spent the past 6 months jumping through hoops with US Bank, a thousand calls to a dozen or so people. I finally had my file reviewed and was deemed inelligible. The reason, I had $ 2,000 between my savings & checking accounts. I have “too much money”. Seriously, that is the reason for the rejection. Every other requirement is met. to me it feels like they never intended to approve my loan mod. How can they say that 2,000 bucks is too much money? We’re talking about a 90K loan here. 2 grand will only pay my bills for a month or so. It doesn’t make any sense, and no one is accountable. And for all you people who think that we, as home owners deserve nothing, well here is my take on the issue - I put 60K down on my home & have never missed a payment. I lost my job a year ago, and the employment outlook in my Northern California town is dismal, at best. Companies, firms, businesses simply can’t afford to hire right now. If a position opens up - hundreds of people apply. If enough homes are lost to forclosure, it will only hamper recovery from this recession even more. In areas of Southern Cal. and in Detroit, neighborhoods are being bulldozed because the banks can’t find people to buy homes. It is really happening - look it up. America has more homeless than since the great Depression, yet we are destroying entire neighborhoods & hauling them to the dump. Either the American Dream is dead, or it will be soon. In thinking about it, the American Dream may have died over 20 years ago.

56. margaret on August 5, 2009 9:43 pm

    …fyi, the american ‘dream’ has been dead for a long time. it’s all a mirage in any case..including the HARP program.

    if interest rates dont drop to a reasonable rate, it doesnt allow for any sensible refinancing. the banks are keeping the interest rates high so they dont have to genuinely refinance. they’ve borrowed money for cheap but the leaders in washington dc have no leverage in making sure the banks pass those cheap rates onto the end users: you and me.

    if the banks can stall the interest rates just above what makes refinancing reasonable, the clock runs out june 2010 and that’s the end of that.

    so homeownership and refinancing are left to the elite. it hardly sounds like socialism folks.

    as for those w. mortgage insurance and whose loans are held by freddie or fannie, no bank can deny refinancing based on having pmi nor can they raise it to secure their loans.

    get the pix? the banks stall long enough and they dont have to take on any risk. no one is insuring it really get done. the folks in washington get to look like they’ve done something for we folks out here and
    we’re left wading through reams of red tape just to have a mortgage that’s equal to the true value of our homes.

57. Diane on August 6, 2009 3:00 pm

    I’m back. Wells Fargo has conceded and processing my Home Affordabe REFINANCE at my April 28th Locked in rate of 4.625 percent. Woo Hoo!! Knock on Wood, I hope they don’t try to throw a wrench into it or come up with some other crap of why I may not be eligible. I will keep you all updated. This was a refinance not a modification. I hope you all the BEST.

58. marsha on August 6, 2009 5:29 pm

    Way to go Diane! I will get there too. It’s just tough trying to get to the right person, work full time and not feel like an a __ while in the process.

    Good for you! Just for the record ASC a service provider that I was dumped on after a refi many years ago still makes it really clear that it doesn’t matter. I have been trying for 6 months to try to stay with one person. That’s not their policy. I am beyond being “nice” with these jokers –and they are. Perhaps I will go on all fours to my home town bank (been there 20 years) and ask for help. The whole thing is so sick…

59. david on August 18, 2009 11:58 am

    I have FNM and FRE loan via Wells Fargo Bank. I’d like to refinance my mortgage via the HARP program. What is the new LTV ratio? Is it at 125%? I called the agent at Wells Fargo, and she said that the LTV ratio has remained at 105%? I

    Please advise! To qualify for the HARP program, what is the LTV ratio?

60. ernie on August 19, 2009 1:10 am

    It seem no matter what loop holes WE jump thru for the banks holding are homes hostage they add another loop. The Banks got rewarded for Failure.” The Bad child gets the reward”. If a person has a business and makes bad financial choices and fails we don’t get money for making the choices we made, do you know anyone who has? Besides the Bankos, how much % are they making well holding onto The Hail Money. Job Security with Retirement.
    WE ARE ONE BIG FAMILY, ONE HURTS WE ALL ARE FEELING THE HURT!!
    YOU FEEL ME? I FEEL YOU:)YOUR NOT ALONE IT JUST FEELS LIKE IT, WE ARE GOING TO BE ALRIGHT JUST DON’T GIVE UP. K

61. Derek Tinsley on August 25, 2009 8:31 am

    Diane, could you give me a contact name at Wells Fargo? I went through the same thing and was turned away?

62. Jennifer on August 25, 2009 2:03 pm

    Amazing! Wells Fargo has been giving me the runaround since MARCH right after the President signed the bill. I’d love the contact number from Diane as well!! Thanks.

63. Diane on August 27, 2009 5:40 pm

    Hello Derek Tinsley,

    REGARDING HOME AFFORDABLE REFINANC
    (NOT MODIFICATION)

    You can contact the Presidential Offices at 800-853-8516. What you should do tho is email Mary.Coffin@WellsFargo.com, she will then delegate it to someone. Your email should have detail of the problems that you are having and exactly why you qualify. You must do the all the homework for them, because if you don’t they may disqualify you incorrectly. I have done SO much research (Freddie Mac Bulletin 2009-5) and have made SO many calls to Wells Fargo and Freddie Mac that I KNOW this stuff. I simply would challenge them each time with that particular bulletin, but you must know it and understand it. You can also call Freddie Mac at 1-800-FREDDIE to be sure that you qualify. If you still have questions email me your phone nummber and I will try to call you this weekend … blissfuldi@aol.com

    BTW The LTV for the ReFi is now 125%

    Sincerely,

    Diane

64. Elaine on August 29, 2009 6:28 am

    Has anyone had any success with the Home Affordable Refinance Program and Bank of America? I’ve been in contact with them since April and they keep telling me that because I have PMI I must wait for Phase 2 to be released–I’ve heard from some that there’s no such thing as Phase 2..BOA keeps saying, “maybe in two weeks..” I don’t know what to believe! We are current on mortgage and simply want to lower our monthly payments..does anyone have any feedback?

65. Diane on August 29, 2009 5:26 pm

    Elaine,

    From my understanding PMI is not required if you are not paying it now regardless of the LTV. I think it was taking a while for the banks to get on board with this as well. Here is my scenario tho, I know that I am not required to have it even tho my LTV is greater than 80%. It is not required because my original loan did not require it, when I purchased my home I had placed more than 20 percent down.

    For more information resaerch the following depending on who secures your home:
    https://www.efanniemae.com/sf/mha/mharefi/pdf/refinancefaqs.pdf
    http://www.freddiemac.com/sell/guide/bulletins/pdf/bll095.pdf

66. Brian on August 31, 2009 1:48 pm

    If Phase 2 ever gets rolled out I should finally qualify for the HARP program. However, the loan officer at US Bank told me that if my LTV is higher than 100% they will charge one point onto the refinanced loan. Does this sound right? I haven’t heard it anywhere else.

67. John on September 4, 2009 11:54 am

    I called Wells Fargo today 9/4/09 and was advised that they are still at 105%. They said they are not sure when they are going to offer 125%. Does anyone know?

68. Krisitian Richard on September 4, 2009 12:08 pm

    The Obama “Making Home Affordable Refinance” has been in place for quit some time. It is ending June 2010. You have to have a Fannie Mae or Freddie Mac serviced loan. Almost all conforming mortgages are serviced by one of the two. This program can help many people refinance. In some cases no appraisal or income verification is required. They also allow up to 125% LTV. A lot of lenders are limited to 105% LTV. You can go to http://www.affordableloancenter.com Most of the lenders listed do this refinance. The name of the refiance is called Refi Plus. You can also email me with questions. I would be happy to assist.

69. John on September 4, 2009 5:22 pm

    My bank is Wells Fargo, through Freddie Mac. Do you mean others can refi my loan? My loan is 293k and the house is worth around 240k. Could you give me some advises?

70. Brooke on September 5, 2009 3:21 pm

    Does anyone know if MetLife Home Loans participates in the HARP?

71. Toni on September 7, 2009 8:05 am

    Wells Fargo has given me the run around since March also. You send them all the information they require over & over again & it still isn’t enough. Then they give you a 10 day deadline to get more informtion to them. The letters arrive at my home with just 2 days left to gather more information. I started this back in March & have decided to give it up at the end of August. I just can’t deal with them any longer. It appears to me that they want people to fail.

72. Kevin on September 7, 2009 8:17 pm

    I’m trying to refinance with the assistance of the Harp program. We have a loan owned by Freddie Mac and managed by Wachovia/Wells Fargo. We were given an interest rate of 5.325, which is better than out 6.75. I asked if the rate can be negotiated and was told that our 66 dollar closing cost would now be the original closing cost plus adding another 1% to the principal. Can they do this? I know they found loop holes, but this is out of control. Is there a way I can negotiate the rate with out raising the closing cost, or is the point moot and just be happy with 5.325? I would appreciate any assistance. The only bargaining tools I have are excellent credit, never late on the mortgage, our banking has been done through their bank for the life of the loan and longer. Plus when they did the original loan the messed up in the closing and our mortgage rate wound up being 500 dollars a month more than expected. Don’t know if I can use these and if they will work at all. Thanks again for any assistance.

73. Anita Hamilton on September 8, 2009 7:11 am

    My husband and I are trying to save our home and work with our servicer (AHMS). We do qualify for the HAMP program and hopes it does what it is intended to do. I stress to all bloggers, that if you are approached by any company stating that they can help you with a loan modification for a fee, please do not use them. We trusted SaveMyHomeUSA to do a loan modification as was scamed out of $1895. They did nothing but took our money then told us to file bankruptcy. I don’t know if the Obama program is going to work, I pray that it does because there are a lot of hard working people who strived to provide a home for their family, and because of the ecomony that dream has been shattered. So I hope the program can help everyone save their home. I pray that everyone who is facing possible foreclosure can find the peace of mind they need with this program and save their home.

74. marilyn busby on September 10, 2009 12:58 am

    Home affordable has been available for about 6 months. We lost the battle yesterday and are now foreclosed. I lost my job of 25 yr. last August. I started calling our servicer in October and they said that since we were not 3 months behind they could do nothing. In Jan. I called about a streamlined plan and they did not know about it and never called me back about it after promising they would 3 times. We wrote a hardship letter because by this time I was seriously ill, I’m a colon cancer survivor and have horrible stomach problems. My husband is 100% disabled and we bought a fixer upper about 129,000 and it has depreciated severely. The mortgage company called and offered us a 100.00 discount on our payment with no paper work or any promise of the terms. I asked for a reduced rate, a longer period to pay and then we would be paying back what we owed and they would not lose. The lawyer comenced to forclose. We met w/a HUD person and they said that 1 day would get time to submit the required docs. The attorney said we could have 1 hr. to file bankruptcy. Our attorney called him at 12:04 and we missed by 4 minutes. The servicer bought it back form the servicer. NO third party. We ran around last week and filed all kinds of docs. but nothing worked. We are in our late 50’s and will never buy another home. The health care will be the same joke as this is. Where is all of this money going that is for these so-called programs? By-the-way the home affordable act states that the home can not be forclosed on during a modification and can be bought back from the servicer. Ha! These banks and servicers are going take a loss on the properties and hit up the owners with a big tax bill. Just wait and see. I hope this is not whats to come with the health care. MY husband payed 40 yrs. for his medicare, pays 90 to the gov now, and 70 to Bluecross for his scripts, and Obama will take it away. Probably because Bush and Kennedy fought for it and he needs to steal the money to shuffle around. Does anyone know where we can get help. Fannie Mae said they would call back in 72 hours. I have major surgery in the morning and another one in 2 weeks.I hope our lives together of 38 yrs. will not be put out on the street. We have no money and our health isn’t up to this.

75. marilyn busby on September 10, 2009 1:20 am

    cassedy, We were just forclosed on yesterday by chase. They will lead you to water but you can not drink. They pulled a fast one on us and I have been working everything just as the home affordable aacts reads. I copied on off of the internet. They make promises but never intend to follow through with return papers. Please someone let others of the Class Action Law Suit. We had to file bankruptcy as ordered by the attorney and were 3 minutes late and only given 1 hr. to do this. Wamu had our loan and Cenlar was the servicer, but Chase forclosed and the servicer bought it.

76. sheri davis on September 13, 2009 1:13 pm

    I have a countrywide/b of a loan im in the process of the making home afforable program. I have turned in packet of paperwork per their request. They rec this packet 08/03/09 from me. This packet has me on a trial payment for 08/20/09,10/01/09,11/01/09 no payment req for sept. monthy original payment was $1843.35/now trial payment is $1420.83 new payment includes my homeowners ins/taxes prev payment did not.I called home retention program through b of a to see is i still need to send in my originail mo payment they said no only send in new trial period amt which is $1420.83 I rec a call from b of a on 08/24/09 req i send 1 month worth of paystubs for my husband (mind you this was i sent in the originial packet on 08/03/09).They stated on my answering machine i had 72 hrs to fax these paycheck stubs. I faxed them over on 08/26/09 at 10 am i followed up with a phone call to see if they have rec them.The b of a rep edward said yes they have rec them on 08/26/09 in the morning. A few days later on went on to my b of a home loan acc to ck the status of my work out program.To my surprise it said work out program was canc on 09/01/09 due to borower not sending in currently stubs for spouse.I was confused i call the home retention dept to see what was going on the rep laquishia said they rec everything they req from me on 08/03/09 in the package e my acc was under review.I told her the req made on 08/24/09 she stated that b of a computer systems were not linked w the home retention program computer systems. Laquisha put me on hold and transferred me to b of a i spoke to rep there named kaufe he said he was also confused why workout program was canc they rec the stubs within 48 hrs.He then transferred me back to laquisha she then put me on hold and then i spoke to lionella at b of a again! she said the samething kaufe did confused on the canc then she stated to me that on thier side they may haven’t viewed the docs i faxed over to them on 08/26/09 on time so there for they canc the workout program.Ok hold up wait a minute i told her how does that give them the right to punish me! If they are taking their sweet time to review docs they have req? she said she has sent an email to bobbi/noreene the two women that have req these docs that i sent over to their attention. She told me to call back in five days she put in a req to re-open up the workout program. She stated to also send in the trial payment as originail docs have stated.I will be calling them on weds 09/16/09.I will let you guys know an update by then.

77. Smurf on September 13, 2009 2:26 pm

    can they denied a modication Application – because you owe back school tax’s.

78. Eileen Leyendecker on September 13, 2009 8:48 pm

    Sheri, I process loan modifications and many of our clients have Countrywide now Bank of America. Bank of America is by far the worst lender I’ve worked with. Your comments are typical every day occurances with Bank of America. Reading your comments made my blood boil because this is what Bank of America does to people every single day. They need to hire staff that can handle the volume and actually review the documents that they request. Each department should be able to see everything on the file but they can’t so you had to speak to Edward, Laquishia, Kaufe, Laquishia again and then finally Lionella who emailed Bobbi/Noreen, how’s that for efficiency? If you and I ran a business that way we’d be out of business real fast. If your lender requests any other documents fax and email them in a pdf if you have the ability to 3rdpartyadvo@bankofamerica.com and put your last name and loan number in the subject line and I would also make all the trial payments on time. If you have time you need to call every day and keep documenting every detail the way you have been. I wish you the best - please keep me posted.

79. Susan on September 15, 2009 5:45 am

    Does anyone have experience with Sovereign Bank loan modifications? I was part of a mass layoff, my husband is still emplowed. I sent in our loan mod packet at the end of May. I called once a week and was always told that I was in the “final stage” and I would hear in about a week. This went on until last week (3 months passed) when I received a letter from Sovereign stating that my paperwork was out of date and I needed to resubmit entire updated package. When I called Sovereign they said that they are delayed because they were working with First American for their loan mods but are not anymore. When I call Sovereign I seem to get a different story from each person. I feel like no one knows what they are talking about. If I ask for a supervisor it seems like it’s not really a supervisor just someone acting like one. My husband thinks they are stringing us along only to foreclose when we fall too far behind. We qualify for Obama’s Hone Affordability program. Our interest rate is currently very high. Any suggestions?

80. John on September 15, 2009 8:29 pm

    You know, once again I am disgusted by how little the banks and how little the government are doing to keep people in homes.

    I just had court ordered mediation with my bank today in regards to the foreclosure of my home. I have an FHA loan and have just been informed of the Home Affordable Modification Program (HAMP) which is practically the same thing as the Making Home Affordable program that Obama issued. The only difference is that the HAMP is for FHA homes instead of Fannie and Freddie homes.

    Heres the deal with this program. I studied this from an actual mortgagee letter from HUD.

    Here is the PRIMARY catch and what makes this program unrealistic:

    1. There are two essential debt to income ratios that you must qualify for simultaneously.

    The first is the front end debt to income which is defined as close to, but no less than 31% of your gross income.

    The second is the back end debt to income ratio which cannot exceed 55% of your gross income.

    First thing you have to do is calculate 31% of your income. No, not your net income. They want to squeeze this from your GROSS income.

    So for example, let’s say that your mortgage payment is $1220 a month and that your gross income is $3500 per month. You are 3 months behind on your mortgage. In order for HAMP to adjust your mortgage payment to something more affordable, they multiply your gross income by 31% which in this case would be $1085.

    So the front end 31% debt to income ratio is met. Your payment should be $1085 instead of $1220.

    Now to meet the back end 55% ratio, they take this $1085 payment and add ALL of your outgoing expenses to it. So let’s say that your other outgoing expenses are $800.

    Adding these two would give you $1885.

    To see if you meet the 55% back end ratio, you divide $1885/ $3500 which would give you 53%, which qualifies.

    Here is the problem with this. The original gross monthly income was $3500. The original mortgage payment plus all outgoing expenses is $2020. When you subtract $2020 from $3500 you have an INCREDIBLE surplus of money. Even if you take out taxes to make this NET income, you still have a surplus.

    THERE IS NO REASON IN THE FIRST PLACE FOR THE MORTGAGE PAYMENT TO FALL BEHIND, BECAUSE THERE IS A SURPLUS OF MONEY.

    REALISTIC SITUATIONS HAVE LITTLE OR *NO* SURPLUS OF MONEY AT THE END OF THE MONTH, LIKE ME.

    I ran my figures through to see if I could meet both of these debt to income ratios, which you must do to qualify for this program.

    I make $3175 GROSS. Remember this is GROSS, not net. Already this figure does not reflect realistic income.

    31% of $3175 is $984.00.

    Now I have to take this $984 and add ALL outgoing expenses to it. My additional outgoing expenses are $1420.

    Adding $984 and $1420 I get $2404.

    $2404 divided by $3175 is 75%.

    THERE IS NO REALISTIC WAY TO BE BEHIND ON YOUR PAYMENT *WHILE* YOU HAVE A SURPLUS AT THE END OF THE MONTH.

    THERE IS NO REALISTIC WAY TO HAVE A DEFICIENCY AT THE END OF THE MONTH AND BE ABLE TO QUALIFY FOR A 31% FRONT END RATIO AND A 55% BACK END RATIO.

    THE *ONLY* WAY YOU CAN QUALIFY FOR THIS PROGRAM IS IF YOU HAVE A SURPLUS TO BEGIN WITH.

    THIS DEFEATS THE PURPOSE.

    I CHALLENGE ANYONE TO QUALIFY FOR THIS PROGRAM WITH A DEFICIENCY. DO THE NUMBERS YOURSELF.

    Another thing is that this is a last resort program. Which makes it even harder to qualify for. If there is a demonstrable surplus, this would FIRST qualify you for repayment plans, and forbearance agreements. The reason being is that most banks, when they see that you have a surplus, will qualify you for these other work-outs FIRST, which would cancel your qualification for this program.

    These banks and this government are a joke.

81. Eileen Leyendecker on September 16, 2009 8:00 am

    John, See the guidelines for HAMP at the following link. http://www.treas.gov/press/releases/reports/modification_program_guidelines.pdf. Page 4 and 5 discuss back end DTI - from my understanding if you are over the 55% DTI you will still qualify for the HAMP but you will be required to obtain FREE counseling by a HUD approved counselor. This has been my experience with clients as well. Good Luck

82. andy heidi on September 29, 2009 6:07 am

    I have Wells Fargo and I was shot down because I don’t have PMI! I’m just trying to refinance. Wells Fargo has been sending me in circles since this started in the beginning of the year. They don’t call me, and they don’t send the paper work. If i don’t qualify - no one will!

83. Diane on October 2, 2009 9:28 am

    EVERYBODY with WELLS FARGO and FREDDIE MAC

    If your home is secured with Freddie Mac but Wells Fargo services your loan and you qualify for a Home Affordable Refinance Loan but are having trouble refinancing with them, leave them and go elsewhere. It is past October 1st. You can refinance with any servicer now and mortgage rates are LOW again. Don’t wait.

    Had I known, I would not have fought Wells Fargo so badly, but they finally conceded and I have refinanced as Home Affordable back at the April mortgage rates.

84. Rod on October 4, 2009 11:05 am

    All the above mentioned is pretty much the same with me. I started off with the H4H program under Bush, HARP with Obama. You name it, I’ve done it. My mortgage payment is 67% of my TAKE HOME PAY. 7 times I’ve filled out paperwork. Now, the “Imminent Default Group” WHEN I call them each week tells me they need ‘item x’ or ‘item y’ when in fact the evidence is that it was submitted a week or two or three back. Wamu/Chase will not help its clients.

    Chase/WAMU doesn’t care. All I can say is that if I’m any indication, than this would be a great way for Kristi Alley (”Cheers” fame) to lose the weight. You dont have enough money to buy food. Yes, you read right, the mortgage is 67% of my TAKE HOME PAY.

    I live in the Seattle region. I’ve contacted Senator Patty Murry (D) and even Congressman Dave Reichart (R) and even the White House. Yup, you guessed it; no help from our elected officials. So, I am upside down in a mortgage as we all are, living in an area that is due to have a SEVERE flood from a compromised dam less than 30 miles upriver. So now I’m financially underwater and in due time will literally be underwater when the infamous rains start in the Pacific NorthWET.

    I’m a testament that there isn’t much that WaMu/Chase are doing to help people. The only way out of this is to wait for November 2010. It is the mid-term elections and we as citizens can speak loudly by voting; In the case of Senator Patty Murray, she will NOT question anything a Democratic President is doing. Heavens forbid should he not win the crown in four years and gets replaced with a Republican. Do I care? No.

    To those who are vehemently opposed to homeowners such as myself with our hands outstretched for financial help; just remember that our own government helped out Corporations left and right, so why shouldn’t Main Street America’s citizens get any help? Our economy will not be the recipient of people like myself until we get lower interest rates that are significant reductions.

    So this is year number two in our own version of “The Lost Decade?”

    Thank you Zillow for this blog forum.

85. Suzanne on October 5, 2009 8:23 am

    Ron,
    Can I ask what your interest rate is on your mortgage?

86. Tammy on October 5, 2009 3:23 pm

    I have tried everything and cannot get help! My mortgage company (HSBC) will only do the 105% of the current home value. I cannot find any other bank but Wells Fargo that will service me since I don’t have my mortgage with them. This whole thing seems like a sorry excuse for “helping” people with their mortgages. I think the government is pretending to try to help people. I have talked to many in my situation(current on mortgage, good credit, qualify according to MHA web site, husband took a massive pay cut to keep his job) but our mortgage company cannot help us and we can’t find another one to help us because our mortgage is not with them. So, I guess we are a lost cause like the millions of others who have tried and failed.

87. Rod on October 5, 2009 5:43 pm

    Yeah, my 30 year FIXED rate is set a 5.75%. I’ve noticed interest rates are bubbling up a little, down a little, but what’s the use of a traditional re-fi if houses are still worth less than what I could re-fi for?

    Lesley Stahl? Are you out there? Calling 60 Minutes.
    Lets go for “To Catch a Banker,” next on NBC.

    A colleague of mine took a hit to their credit and could not longer afford to make payments on their home; they missed 9 payments before their bank (BOA) started calling them. They were willing to have their credit messed up since their thinking was it will be 5-7 years before their house value returns to what it was and maybe they could sell it. I think they’re on to something if you ask me. I know FICO scores can re’grow’ over time with timely payments, so I need to pick their brain some more…..

    Long story short Ms Susanne, 5.75%.

88. Suzanne on October 6, 2009 6:05 am

    Rod,
    I am in the same boat as you. I have been trying since May to do a loan
    mod. I was laid off, my husband is still employed. Our monthly mortgage
    payment is 67% of our take home too. Our interest rate is 7.75%. If only
    the bank would follow Obama’s guidelines for 31% we would be able to afford
    our payments. By my calculations our interest rate would have to go down to
    about 4%. Unfortunately, our documents have been under “review” since May.
    We actually had to resend everything last month because our documents were

89. Suzanne on October 6, 2009 6:06 am

    I am in the same boat as you. I have been trying since May to do a loan mod. I was laid off, my husband is still employed. Our monthly mortgage payment is 67% of our take home too. Our interest rate is 7.75%. If only the bank would follow Obama’s guidelines for 31% we would be able to afford our payments. By my calculations our interest rate would have to go down to about 4%. Unfortunately, our documents have been under “review” since May. We actually had to resend everything last month because our documents were outdated. We are about 4 months behind in payments

90. Eileen Leyendecker on October 6, 2009 1:04 pm

    I’ve noticed that many of you have been referring to your mortgage payment is X% of your take home pay. The HAMP guidelines are as follows: Real Estate Expenses (PITI plus HOA’s if applicable) divided by your Monthly Gross Income equals your Front End DTI. If this percentage rate is lower than 31% then you do not qualify. If in order to get you to the 31% Front End DTI the interest rate would have to go lower than 2% and/or longer than 40 year amortization you do not qualify. The following link will take you to the HAMP guidelines. http://www.treas.gov/press/releases/reports/modification_program_guidelines.pdf

91. Suzanne on October 6, 2009 1:31 pm

    Thanks Eileen for your help. I meet all of the requirements for the HAMP program, I just don’t understand why I have been waiting since May to get approved.

92. Eileen Leyendecker on October 6, 2009 1:46 pm

    I will make no excuses for the lenders - its absolutely rediculous how long some lenders are taking to complete a loan mod. My biggest beef is with Bank of America. I have a client that’s with Bank of America and I have been working diligently on their behalf since December of 2008. I contact their lender twice a week and sometimes more - they qualify under the guidelines but BOA just keeps finding reasons not to modify their loan asking for everything under the sun that’s already been provided ten times. I understand that lenders would be overwhelmed but come on - its been alomost 10 months! Obviously I don’t give up easily and this client will get a loan mod but they may have to start fighting fire with fire to get what they deserve.

93. Suzanne on October 6, 2009 2:12 pm

    Eileen,
    I am in the same boat as your client. I have been calling my lender (Sovereign) practically everyday since the end of May. They keep telling me I am in the “Final Stage”. In September they asked for all new docs because my old ones were outdated. I was laid off and my husband is still working. We got stuck with a horrible mortgage rate of 7.75% (That’s a whole other story) If the bank would take our interest rate to about 4% we would fall into 31% of my husbands gross income. We have just about NO credit card debt and No car loans or other debt. If this HAMP loan mod EVER gets approved I will be able to take a huge sigh of relief.
    P.S. When you call the lender for your client do you ever feel like the person on the other end of the phone knows what they are talking about?

94. Eileen Leyendecker on October 6, 2009 2:39 pm

    Suzanne, I have not worked with Sovereign. It seems strange that you don’t have a loan modification yet. I say this because I have had quicker and better response from smaller lenders and I think Sovereign is smaller than BOA or Wells Fargo, etc. I’m wondering if the investor on your particular loan has some sort of rule like no loan mods for anyone current on their loan - must be 60 days in delinquent or something? It’s very difficult to find this out because servicers don’t want the liability of telling a client this information and encouraging them to become delinquent. I found this to be true of Bank of America, IndyMac now OneWest Bank and HSBC none of them would do loan mods when the client was current and it took me forever to find out that the reason was because they were current - I had to really dig and finally found out from supervisors that I asked to speak with. Some lenders have what’s called an “Eminent Default Department” but not the majority of lenders. This department would handle loan modifications for borrowers in danger of becoming delinquent, ie, interest rate adjustment coming up, reduction in hourly wage, illness, etc. Best Regards, Eileen

95. Suzanne on October 6, 2009 5:32 pm

    Eileen,
    We are actually 4 months behind on our mortgage. Sovereign is a smaller bank. They are blaming the delay on number of requests and the fact that they were originally working with First American to do HAMP loan mods and are no longer working with them. I have a pretty good understanding of the HAMP loans. The only thing that concerns me is the NPV test. I do not know how to determine if you pass or fail that. Thanks for your knowledge.

96. jackie on October 9, 2009 1:20 pm

    Why is the home affordable plan based on your monthly gross income? We don”t take home what we make and we surely do not get it back when we file income taxes. My husband has been out of work since Feb of 2009 and going on his last extension for unemployment. I applied for making a home affordable, and they counted my husbands unemployment even though it is not permanent, and I don”t qualify because my mortgage is 30% of my monthly income, and after all my expenses are paid I have 200.00 dollars left a month for incidentals and emergency funding. Some how it does not appear fair as some of us live in states where taxes are higher than others, so how is this helping the middle, middle class out..Not at all…….Jackie

97. Suzanne on October 9, 2009 2:20 pm

    Jackie-
    I am finding this Making Home Affordable totally frustrating. I was laid off and my husband is still employed. He has a pretty good income ($7500 per month) but our monthly payments are a little over 48% of his monthly gross income due to our high interest rate of 7.5%. I have been dealing with our bank since May to try to do a HAMP loan mod. If they would lower our interest rate to about 4% we could afford our mortgage. We are 4 months behind and bank keeps telling us we are in the final stage. I call just about everyday, had to resend docs twice. We have not heard anything whether we are approved or denied. We have like no credit card debt. We were totally screwed by a mortgage co with the purchase of our home and took the 7.75% fixed rate to get out of an 8.75% arm that we took out of desperation at the last minute because a different mortgage company pulled a fast one on us about 2 weeks prior to closing, demanding more money and a much higher interest rate than promised. I can only hope for help at this point.

98. naisargi on October 9, 2009 2:47 pm

    Hi,
    We have been trying to refinance our house since it is upside down by about 40%. We were so excited that Obama has increased the loan program to 125% or range. We have called Bank of America for about 5 times in 2 months now and they are saying that they do not have the plan details available as yet.

    The house prices in my area are gong down everyday.
    It is scary. Does anyone know why is bank saying that they do not have plan details available?
    It’s just change form 105% to 125%. What kind of plan detail are they talking about?
    They are not ready to help us since we have been paying high interest rate and are always on time about out payments.

    Please guide.

99. Keeping it Real on October 14, 2009 5:05 pm

    Big banks are the worst all they do is stall stall stall. I had great success with United Savings Bank They have been in Business for over almost 100 yrs.. they have great people, and great rates. I also had great experience with County Savings and Loan they are a smaller company, and are more understanding then most big banks. I refied both my home and my rental property. Good luck to all.

100. Robert Renteria on October 14, 2009 6:59 pm

     Has anyone apply for a loan modification with CalifHFA. I applied 3 months ago. They sent me a letter dated Sep 01 and it was postmarked Sep 10 requiring more information due by Sep 08 or they will canceal my application. Well I sent the info on Sep 10 when I received there letter. 2 weeks
     later I get a letter saying I did not meet the Sep 08 deadline so my application was cancealed.
     I am no longer qualify since I am not 2 months behind in payments. I guess there is some lesson to learn here. I just not smart enough to figure it out.

101. Angela Williams on October 15, 2009 1:34 pm

     We at citi never sleep, so why should our customers!

102. Rod on October 15, 2009 5:21 pm

     You may have been cancelled, which is what the bank wants you to do. So Obama has enticed a bank with a small, pidgety amount of money for completion of a newly modified loan. The banks are laughing; they can make much much more off of seeing that interest rate(s) on homeowners remain as is. I too have gotten letters post-dated and sent with arbritrary deadlines that were gone past after I’ve gotten the mail.

     To put it in context, imagine if you had a savings account and you were accruing 5-6-7% interest every month, it would be worth it, wouldn’t it? In essence, a common money market is now about .01% (YES, that is right). There is no incentive to save, which is what our nation wants us to do, is spend. What good is spending if we dont have the money? If we got our houses refinanced to a lower interest rate, perhaps we could have a few more dollars to spend as well. Do you think this is going to happen?

     So, Mr. Renteria (You’re above me here in the blog), unless the bank of your choice has sent you an actual letter stating you’ve been cancelled out; I wouldn’t close the door. If you have the patience like me, contact your congressman, your senator and any elected official. Get on their list so they know that you’re frustrated as well.

     The only new information I’ve heard (yesterday) was that people who are attempting to modify their loans and have missed a payment or WILL miss payments, is that modification loans (if they ever happen) will slow down the foreclosure process.

     In yesterdays “Dow-hitting-10,000″ all the biggest corporations with highest returns YTD were banks. It’s ridiculous.

     Write a letter to Fox. Write a letter to 60 minutes. Write a letter to a local newspaper. Make this your hobby, but remember to be at peace with yourself and not let it consume you.

     Finally, if you’re getting nowhere with your bank, try your local chapter of Acorn Housing help (as in the website http://www.acornhousinghelp.org) it is one more locale in which you can fill out REAMS of information and have them start the process with you. That way, you are front loading and backloading the bank with papers….anywhere and anyhow so that people at the bank will process your loan. I dont know if I will qualify, I’ve never gotten a letter from a bank, and I’ve been at it since January.

     If you stop now, you are in essence quitting. Is that what you want?

     And finally, the normal media shares that over 560,000 people have had their loans modified. Will one of them step up to the plate and say hello and how they got lucky?