Forest Hills, NY (PRWEB) April 13, 2009 -
The Obama Administration unveiled the final details of its "Making Home Affordable Program," which is designed to help up to 9 million American families refinance or modify their loans to a payment that is affordable now and into the future. This includes New York mortgage loans needing assistance. One of the initiatives in this program is aimed at helping responsible homeowners "refinance" their loans to take advantage of historically low interest rates. The following requirements determine eligibility:
•Own one- to four-unit homes, condominiums, or cooperatives.
•There were no mortgages lates in the last 12 months.
•The amount owed on the first mortgage is about the same or slightly more than the current value of the house.
•A stable income sufficient to support the new mortgage payments.
Eligible loans will include those where the first mortgage will not exceed 105% of the current market value of the property. For example, if the property is worth $200,000 but the debt is $210,000 or less, it may qualify. The current value of the property will be determined after applying to refinance. If delinquent on the mortgage, it does not qualify for the Refinance Initiative. The good news is one may qualify for the Modification Initiative.
If there is both a first and a second mortgage, as long as the amount due on the first mortgage is less than 105% of the value of the property, borrowers with more than one mortgage may be eligible for the Refinance Initiative.
Will refinancing lower the payments? That depends. If the current interest rate is much higher than the current market rate, there would likely be an immediate reduction in the payment amount. However, if paying interest only on the mortgage, there may not be a reduction in the payment. Property owners will be able to avoid future mortgage payment increases and may save a great deal over the life of the loan. New York mortgage loans refinanced under the plan can have a fixed or adjustable interest rate.
The interest rate will be based on market rates at the time of the refinance. Currently, interest rates are at historical lows, which make this a good time to examine refinancing options. Refinancing will not reduce the principal loan amount; however, refinancing should save money by reducing the amount of interest that has to be repaid over the life of the loan. Only transaction costs, such as the cost of an appraisal or title report may be included in the refinanced amount.
Great Northern Mortgage Corp. can assist consumers immediately in applying for this refinance initiative and several other real estate financing transactions. They are a member of New York Association of Mortgage Brokers and Better Business Bureau.
To learn more, visit http://www.GetLowRate.com or call 888.9LOAN99.
About Great Northern Mortgage Corp. (http://www.GetLowRate.com):
Great Northern Mortgage was formed in 2004. The company was founded by Igor Noble, real estate and bank attorney in the state of New York. Mr. Noble was involved in real estate financing and acquisitions since 1994. Extensive expertise in areas of real estate law, and real estate investing, helped Mr. Noble to bring together a team of professionals who share the same passion and ideas to real estate.
Beginning July 2007 when the real estate market started crashing and hundreds of thousands of people faced foreclosure, the company revisited its goals and directions to accommodate a growing mass of people with their urgent needs.
Great Northern Mortgage provides New York mortgage loans for commercial and residential acquisitions, refinancing of existing commercial and residential properties. Great Northern Mortgage offers from conventional financing and FHA products to construction, hard money and rehab loans.