Docstoc

Government Helps Homeowners With New Mortgage Support - Mortgage News

Document Sample
Government Helps Homeowners With New Mortgage Support - Mortgage News Powered By Docstoc
					Presented by Daniel Toriola
Mortgage is a kind of a pledge or guarantee made by the home purchaser or borrower to repay the loan to the lender. A right home mortgage loan can save thousands of dollars in the long run. Hence, it becomes very important and crucial to the borrower Click here to know more

Not All Web Hosts Are The Same. Some Are Really Responsive To Customers. Backed By a 30 Day No Questions Asked 100% Money Back Guarantee, 99.9% Uptime Guarantee. Read What Our Clients Say About Us! Click here to know more

Government Helps Homeowners With New Mortgage Support | Mortgage News By Mark Aucamp

Latest forecast by the British Chamber of Commerce suggests that unemployment figures could rise to ten percent or around 3.1 million people during this year 2009. According to Credit Action personal debt in Britain today stands at almost £1.5 trillion in November and the amount of debt has surged ahead of the country’s gross domestic product (GDP) last year 2008. The Council of Mortgage Lenders had forecasted up to 75,000 homes could be repossessed in 2009 if something was not done by the government to help. With the above in mind it is little wonder that government help is urgently required. That’s why during the last Pre-Budget report on the 2nd September, Alistair Darling announced that his Government would be providing a package to help homeowners who found themselves unemployed and struggling to pay their mortgage. He said that he was determined to support people during these difficult economic times. The package Alistair Darling was referring to was the extension to the Support Mortgage Interest which came into effect today the 5th January 2009. This included shortening the waiting time for Support Mortgage Interest (SMI) from 39 weeks to 13 weeks and increasing the capital limit to £200,000. Today the Government is announcing that this new rule will also apply to people who are waiting now. According to the Secretary of State for Work and Pensions, Mr. James Purnell the government has decided that they do not want a person who is unemployed through redundancy to worry about paying their mortgage. They want people who have already served 13 weeks or more of their waiting period by today the 5th January 2009 to be entitled to claim Support Mortgage Interest. So what does all this actually mean to you and me? Well if you are unemployed through redundancy then instead of waiting 39 weeks for the government to pay just the interest on your monthly mortgage payment you would now only have to wait 13 weeks for Support Mortgage Interest to be paid by the government. Previously Support Mortgage Interest would only have covered up to £100,000 and then on the 2nd September 2008 the government increased it to £175,000. Now under the new instructions issued by Alistair Darling at his pre-budget report he increased it to cover your mortgage up to £200,000. The
Abc Mortgage Consulting Sell mortgage ebook with advice and tips to help save time and money before applying for a mortgage. Page 1

Presented by Daniel Toriola
standard rate of interest which is used as the basis to calculate Support Mortgage Interest has been frozen at 6.08% for the next six months. The above scheme works well as long as your mortgage is less than £200,000 and your wife does not work or you are single. But what if you are a couple where the main bread winner has been made redundant and their partner continues to work and you still cannot afford your mortgage payments? Also how would this ruling affect a couple who had a mortgage and a secured loan under £200,000? Previously, you would not have qualified for Support Mortgage Interest; it might be possible to apply for the Gordon Browns other government incentive below. Let’s not forget Gordon Brown recently announcement for “middle income households” that his government would underwrite a £1 billion scheme which he had agreed with eight of the largest mortgage lenders. This scheme will be available to anyone who loses their job or suffers from a loss of income. For example: a couple where the main bread winner has been made redundant and their partner continues to work, but they are struggling to pay the mortgage. Under this scheme any household with a mortgage of up to £400,000 will be able to defer some or all of their interest only payments on their mortgage for a period of no more than two years. To further qualify for this scheme you should have less than £16,000 in savings. The terms of suspension of mortgage payments will need to be agreed between the mortgage borrowers and their mortgage company or bank. More information and details are required and the devil may well be in the detail. Your thoughts, experiences and comments are welcome. Contributing author Mark Aucamp has been providing Talk Money Blog with regular posts and comments. Mark is recognised as an authority in the field of Debt Management and the Mortgage market; he has extensive experience in providing Advice & Solutions. Mark is the Editor of Talk Money Blog: - http://talkmoneyblog.co.uk

Mortgage Loan Tips Why some people almost always get the lowest interest rate on their mortgage - for the least points - and NO Junk Fees! Page 2

Presented by Daniel Toriola
Compare Mortgage Rates For Refinancing – Choosing The Best Refinance Mortgage Option By Carrie Reeder

When refinancing a mortgage loan, homeowners have several options. There are numerous reasons for refinancing an existing mortgage. The past five years have witnessed low mortgage rates. However, low rates will not remain forever. Before interest rates begin to climb, homeowners should take advantage of their refinancing option. Which Home Mortgage Lender to Choose? Many financial lending institutions offer mortgage refinancing. If hoping to secure a good refi loan, it may be practical to use a refinancing specialist. Mortgage specialists are able to address all your concerns. Moreover, they can offer expert advice on which type of mortgage refinancing to choose. Homeowners who are satisfied with their existing mortgage lender may consider obtaining a new mortgage with the same lender. However, using the same lender is not required. In fact, even if your mortgage lenders offer a good refi loan rate, it helps to obtain additional quotes and compare the different offers. What are Your Refi Loan Options? When refinancing a mortgage loan, homeowners have several loan options. Usually, homeowners refinance to lock in a low fixed rate. This way, mortgage payments remain predictable. Many select adjustable rate mortgages below of their low introductory rate. If homeowners choose a mortgage loan with an adjustable rate (ARM), they should anticipate changing rates. If rates falls, ARM’s pose little threat. However, if rates increase, so does the mortgage payment. Homeowners should also select an ideal term when refinancing a mortgage loan. For example, will they extend the loan term by refinancing for another 30 years, or choose a shorter term and refinance for 15 years. Cash-out Refinancing Loan Options Because the average consumer debt is approximately $8,000, excluding auto loans and student loans, many homeowners choose refinancing as a method of reducing their debts. Cash-out refinancing, which entails borrowing from your home’s equity, is perfect for consolidating debts and financing other large expenses such as home improvements. Before applying for a refinancing, homeowners should do their research and familiarize themselves with the refi process. For example, refinancing involves paying closing fees. Thus, homeowners ought to have a cash reserve or select a mortgage loan that includes the option of wrapping the closing fees into the principle balance. Try using http://www.abcloanguide.com for a list of Recommended Low Rate Refinance Mortgage Lenders http://www.abcloanguide.com/refinance.shtml online. Their recommended lenders are reputable and have competitive rates.

Mortgage Cycling Revealed Affiliates Earn $31.00. Patent Pending Mortgage Reduction Program Quickly Builds A Minimum Of $40,000 Worth Of Home Equity. Page 3

Presented by Daniel Toriola

Related eBooks: Compare Mortgage Rates For Refinancing – Choosing The Best Refinance Mortgage Option Become A Mortgage Auditing Specialist Refinancing California Mortgage Loans - How Does A Refinance Work? Delaying Foreclosure with a Countrywide Loan Modification Millions Rely On Fictional Mortgage Benefit Get more Free PDF eBooks at FreePDFeBooks.com Related Products: Money Saving ideas Free Government Grants BEFORE You Borrow Money Traffic Boost News Ticker Collectible Manager Pro Software

Malamaal.com: A genuine resource center for Quality Ebooks and Softwares
This PDF eBook is for free Distribution only, it cannot be SOLD Scrabble Bonus Word Techniques e-book about Scrabble bonus word techniques. Click here to know more

Powered By FreePDFeBooks.com ReBrand this PDF eBook with your Name / URL / ClickBank Affiliate ID for Free

Let's Get Your Mortgage Approved Former Loan Officers Reveal Secrets To Getting Your Mortgage Approved -A proven method. Page 4


				
Patricia Johnson Patricia Johnson Management Consultant
About Sharing ideas with others. The documents may contain basic information you already know. The documents are shared, also keeping in mind the people who don't know. Also, the documents might be useful to those who think they know buy they don't know that they don't know.