Obama Home Refinance - President Obama's Refinance Grants to Help House Owners Avoid Foreclosure

By Luke Cambell

Obama's 2009 Stimulus Package helps the home owners save their house from getting foreclosed. Under this package the house owners can apply for loan modification or a home refinance. There are some conditions set by the Federal Government for applying for the loan modification. This Package also provides Home Refinance Grants to the house owners to avoid foreclosure.

How President Obama Refinance Grants Help House Owners Avoid Foreclosure

. The monthly loan payments have been restricted to 31% of the gross monthly income of the house owners. So the best option is to reduces the burden from paying high monthly mortgage payments which they cannot afford.

. The rate of interest for home refinance have also been reduced from 6.5 to 5.16%.

. After President's 2009 Package, the equity share does not stand at all. Now people can directly contact the bank through a call at its loan modification department or through their official website regarding application of home refinance grants

. The house owners can go to the counselors appointed by the US Housing and Urban Development Department (HUD).They help you in all the dealings with the bank regarding home refinance in a more professional manner.

Here is the briefing on the Home Refinance Grants:

. Grants provided by the government are not to be refunded by the owners. So it seems much more beneficial to them. But the grants are provided only for the utmost required reasons such as the amount necessary for the paper work. Here are the eligibility conditions to apply for Refinance Grants:

- You should be a citizen of US.

- You should be above 18 years.

- Your reason should be legal and valid.

. The counseling is given to the owners from the counselors appointed by the HUD. This counseling is also a kind of Federal Grants as they suggest you the best option available in accordance to your financial conditions and present situations. They do not charge you anything unlike the private counselors do.

. In case your loan is not owned or insured by Freddie Mac and Fannie Mae, but your loan value is more than the current market value of the house over 105%.

To know more about Home Refinance and to check if you qualify