Bush has launched his new plan for homeowners at risk of loosing their homes. The main problem is that is helps so few that the impact will be negligible at best. Most homeowners who are at risk are faced with two issues, one the payment and two the fact that they are often upside down on their homes.   Most people will not be able to refinance their homes under this program because they exceed the 90 percent loan to value guidelines. In California that number is further frustrated by the fact that most loans are in the jumbo range and exceed the $550,440 limit.

"The Bush Administration announced the launch of the so-called “Hope for Homeowners” program today aimed at helping more at-risk borrowers stay in their homes.

The program, initially approved back in July, will allow borrowers struggling to keep up with monthly mortgage payments refinance into sustainable 30-year fixed-rate mortgages, so long as the loan amount doesn’t exceed $550,440.

It is only available for owner-occupied properties who do not own any other properties, such as second homes or investment properties, and the new mortgage must not exceed 90 percent loan-to-value of the new appraised value.

Additionally, the borrower must be able to prove that their current mortgage is unaffordable, and as of March 2008, their total monthly mortgage payment must have exceeded 31 percent of their gross monthly income.

In order to be eligible, the existing mortgage must have been originated on or before January 1, 2008, and six payments must have been already been made.

Borrowers convicted of fraud in the past 10 years, or those who have intentionally defaulted on their debts or provided materially false information to obtain their mortgage will not be able to utilize the program.

The holder of the existing mortgage must agree to waive all prepayment penalties and late fees, and any subordinate lenders must release their outstanding liens.

The borrower must also agree to share any equity and future appreciation with the FHA and/or the original lien holders.

The program will serve as a type of loss mitigation option for lenders looking to recoup losses on underwater borrowers, though it’s unclear how many homeowners will be interested in salvaging such a loss instead of just starting over.

The Hope for Homeowners program will be available until September 30, 2011, and complements HUD’s other homeowner outreach program, FHAsecure. "

Bottom line this will do little but give Bush some badly needed good press.

http://www.thetruthaboutmortgage.com/hope-for-homeowners-program-launched

X-Paste Toothpaste Dispenser

know this has nothing to do with Real Estate or Mortgages but I think that it is such a cool gadget that it was worth sharing.  I have seen it around the net, but never able to buy one.  Finally I found it on Ebay and ordered one. 

It is a Toothpaste Dispenser designed by X-Paste.  It is made of a high quality chrome and functions with ease.  Installation was a piece of cake.  Simply took it out of the box and pressed the suction cups on my tile wall.  I then inserted my favorite toothpaste and it worked like magic.

My bathroom looks so nice and clean and when it comes to brushing your teeth, all you do is pickup your toothbrush and insert it in the base of the unit and press until you get the desired amount of toothpaste.  It really makes things simple.  I can’t understand why it has take so long for someone to invent this.  I would think that all of us thought of this at some point or another.  If you want one check out the link below.

I did check out TouchandBrush and will take your order but never deliver the product.  It also seems to be in a cheap ABS imitation.  Make sure your stay away from that site.  Their customer service will tell you its on order and should be in anytime now.  I ended up waiting for over 3 months and they still don’t have it.

This post was on the Daily Business Journal:

"Maryland has approved emergency legislation that will try to ward off future increases in housing foreclosures.

Mortgage service companies must now provide the state with lists of homeowners who have adjustable mortgage rates that are on the cusp of resetting at higher interest rates, under the regulation approved Tuesday by Gov. Martin O’Malley. The breadth of subprime and adjustable-rate mortgages that were given to people with poor credit during the housing boom has been blamed for the recent spike in foreclosures.

The state Department of Labor, Licensing and Regulation (DLLR) will keep the homeowners’ names and provide them with information on resources to fend off foreclosure. One form of assistance the state provides is the "Bridge to Hope Loan Program," which provides zero percent-interest gap loans to homeowners who are a few months behind on their mortgages." ……..

This is a glimpse of what California is currently preparing for.  The mortgages due to reset are in the billions each month for the next 12 months.  We are about to get hit by a wave of foreclosure that have never been seen before.