The FHA Hope for Home Owners Program was developed to assist people who are upside down on their homes. Here is how it works:
1. You will be able to re due your loan at up to 90% of its current value. So, if your home was purchased for $500,000 [5 years ago] and today it is worth $250,000 because of the mortgage collapse... You will be able to do a mortgage loan up to $225,000 [90% of the current value].
2. The loan underwriting guidelines have not been determined yet but we can expect to have them in the coming weeks.
We will keep you updated.
Cheers!
Steve
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