tag:blogger.com,1999:blog-8549883549808884582.post6439601969327323287..comments2023-11-03T06:39:28.481-04:00Comments on NJ HELOC Heaven: Hope NOW? Hope Never!NJHHhttp://www.blogger.com/profile/14960316007304106542noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-8549883549808884582.post-91956708539962307552008-09-27T08:00:00.000-04:002008-09-27T08:00:00.000-04:00Crap I knew I messed something up. To refinance in...Crap I knew I messed something up. To refinance into an FHA loan under the program it's not 90% of principle, it's 90% of FMV. Makes it less enticing to the lender. <BR/><BR/>It also wipes out second liens so it's as if we fast forwarded to the auction date and the current borrower gets to buy their own house at auction but everyone saves time and money.<BR/><BR/>The Hope Now Alliance is also made up by a lot of lenders.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-8549883549808884582.post-90146831891956828082008-09-27T01:41:00.000-04:002008-09-27T01:41:00.000-04:00The issue with HOPE Now, in my opinion, is that pa...The issue with HOPE Now, in my opinion, is that part of it replies on lenders to agree to a 10% reduction in principle to refinance into an FHA fixed rate mortgage.<BR/><BR/>I don't think lenders are too happy with that even though the alternative isn't any better and probably worse. Don't have exact numbers but it looks like a lot of modifications involve extending the term and lower payments. If anything principle is added to cover delinquency fees.<BR/><BR/>So many loans were just so bad that there was no way they can qualify the current homeowner to stay in the house under the current conditions.<BR/><BR/>Banks are in a real tight spot here.<BR/><BR/>The good thing about HOPE Now though, is that they do not charge up front fees. There are a number of companies going after the same homeowners, charging up front fees and some according to lawsuits filed by various State Attorney Generals, are not delivering on their promises.Anonymousnoreply@blogger.com