Government Mortgage Refinance Plan – Obama Can Help You Avoid Foreclosure
Posted on | February 14, 2010 | No Comments
President Obama has worked very hard to keep interest rates low which should help you avoid foreclosure. The government mortgage refinance plan was created to help you lock into a lower mortgage interest rates so your monthly mortgage payments would be much more bearable. If you refinance today you could save several hundred dollars a month on your mortgage payments.
It is very important to note that you must have equity in your home and a credit score above 740 to have the ability to refinance the low mortgage interest rates. This does not mean that you will not benefit from refinancing if you cannot lock into the low mortgage rates around 4.8%. If you have the ability to refinance your home loan rate to one percentage point below where it currently is you will benefit.
The reason you need to save one full percentage point is that there are closing costs involved in refinancing. If you do not save at least one full percentage point your refinance costs are often going to outweigh the benefits of your monthly mortgage savings. There are many mortgage calculators available online that can help you to better understand how much money you will save.
Pres. Obama and the government have worked very hard to keep mortgage rates low which should help you to save your home. It is very wise to do everything in your power to avoid foreclosure. Foreclosure is a process that no one enjoys and you do not want to lose the home that you have worked very hard for.
Author: Mike Garner
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