Attention Homeowners: A government assistance plan that might actually help!!!!

We can hardly believe it...but the new government plan to assist homeowners  refinance their mortgages might actually be a real help to Floridians.

Many Floridian homeowners have been unable to take advantage of historically low interest rates because the value of their homes have fallen and cannot meet the collateral requirements of the lending institution to refinance their existing loans.

 Perhaps they purchased a home for $280,000, obtained a loan for $240,000, but their home value is now $150,000.  So, they are unable to refinance a loan of $240,000 with a home value of $150,000 under conventional lending practices.

But....the new government program or "HARP" to be introduced next week gives broader guidelines so that some homeowners can refinance to take advantage of today's lower rates..... even if their home value does not meet the conventional loan-to-value ratios.

Other traditional mortgage requirements do remain however.  You must be current on your mortgage over the last 6 months and have no more than one late payment in the last 12 months. And, you must meet income requirements, etc.  

So, if you know someone who has been faithfully paying their mortgage, but has been unable to refinance to take advantage of the lower rates because of the fallen value of their home, encourage them to look at the possibility of refinancing now under the new HARP program.  Their monthly payments could be substantially reduced. 

Finally, a government program that might help !