The Equal Opportunity Refinance Initiative

The mortgage crisis of 2007 marked catastrophe for millions of homeowners who suffered from foreclosure and short sales. Most of the problems involving the foreclosing of families’ homes could boil down to risky borrowing and lending. Lenders were pushed to ensure families would be eligible for a loan, when in previous years the same families would have been deemed too high-risk to obtain any kind of loan. With the increase in high-risk families obtaining loans, there was a huge increase in home buyers and subsequently a rapid increase in home prices. As a result, prices peaked and then began falling just as fast as they rose. Soon after families began to default on their mortgages forcing them either into foreclosure or short sales. Who was to blame for the risky lending and borrowing that caused the mortgage meltdown? Many might blame the company Fannie Mae and Freddie Mac, but in reality the entire system of buying and selling and free market failed home owners and the housing economy.

Seeing other people reactions towards foreclosure helps me to develop a meaningful value of life and how to appreciate it everyday of my life. As I see what is going on around me I came up with three plans that can be executed to help all people who are dealing with foreclosure issues. This can become a major factor for the economy. One is called Own A Home , Financially Fit, and Bills To Kill. These are guaranteed plans that will help any individual that feels that they are not financially secured to become a homeowner. The Own A Home program is designed for aspiring homeowner in which they

Too many Americans have fallen victim to the crisis that has become the norm for our citizens these days. Lenders no longer want to work with individuals who have gone through the foreclosure process and for many it is not only their homes they lose. Some have lost their jobs and/or families, others fall into a deep depression and worst of all some have taken their own lives.

The current financial crisis, which had its roots from subprime mortgage crisis, began to increase dramatically in September of 2008. There have been significant economic disorders in United States alone. Major banks and financial organizations around the world are going bankrupt and writing down billion dollars. Housing markets are falling not just in United States but all around the world. This crisis is truly global and it is spreading like fire. Because of these economic crises, the US Congress came up with a $700 billion bailout plan to buy troubled assets from financial institutions who are struggling financially. Nevertheless, another bailout was proposed and it's the homeowner bailout. It is known that the foreclosure

An FHA 203b Refinance loan is by far one of the most incredible loan programs out there. FHA will allow you to refinance and make improvements on your home. The value of your home is based on the “As completed” value – meaning once the work is done your house will be worth more. With this knowledge, FHA allows you to borrow against that "would be" value of your home.

The Federal Housing Authority has put a similar plan together called the “Back to Work Program” which can help the buyer return to the housing market in as little as one year if the buyer is able to meet certain guidelines. The guidelines included in the “Back to Work Program” are: the buyer must pay their bills on time, had a 20 percent reduction in income, and a minimum credit score of 620. The “Back to Work Program”, has strict guidelines to make sure that the buyer is responsible, they must pay their bills on time and cannot miss one payment, or else they will be ineligible for the program. The 20 percent reduction in income must be demonstrated to be in the result of loss of employment and the reduction in income must be for a duration of 6 months. The Federal Housing Authority primarily requires the boomerang buyerthat is purchasing a home to have an hour long credit counseling session with the Department of Housing and Urban Development, after the session is completed a plan is created for the buyer.

Foreclosure in America has been a rising and prominent problem recently, and has destroyed many Americans hopes and dreams. Over 2.3 million homes were foreclosed in 2008, and an estimated four million homes will be foreclosed by the end of this year. Despite the efforts of many banks and lending companies, over half of homes will foreclose that have received their help. I believe that we have only started in the right direction in solving the foreclosure crisis. Giving money and lowering mortgage rates will help, but I believe we should find out why Americans are in this situation in the first place. We are being too stereotypical when we think the only reason someone is foreclosing is because of irresponsible payments or buying a home

without a home and in financial straits in the aftermath of the 2010 Foreclosure Crisis. However,

Most homeowners who are going through what is classified as financial hardship do not know the loan modification guidelines for their lender -- a must if the homeowner wishes to apply for a loan modification to reduce their monthly mortgage payments. Because each lender has a different set of guidelines to follow as to who is eligible for loan modification and who is not, many homeowners hear from their friends, neighbors, or family who were not eligible and believe that they are not eligible either. The fact of the matter is, each lender has different criteria and guidelines instated to make sure that the people who receive loan modification assistance actually need it. Essentially it 's just to weed out the people who are trying to get a lower mortgage payment who can afford their payment, but don 't have good enough credit to qualify for refinancing. The economy is tough for everybody, but loan modification under the Home Affordable Modification program is only for those who are in times of financial hardship and cannot afford their mortgage payment within reasonable means. Some lenders require good credit in their loan modification guidelines, while others do not; some lenders require that the initial loan to have been taken out during a specific time period, while some lenders just care that it was before January 1st, 2009; and some lenders could reject a homeowner because they have had a bankruptcy in the past. There is no telling what your lender 's loan

In 2008, an absolute indication of a recession was the decline in auto buying, insurance companies requiring assistance, retail stores closing with massive lay-offs stemming from these markets. As a result, these individuals now unemployed were unable to pay their monthly mortgage payments which resulted in home foreclosures. A foreclosure is legal proceeding that bars or extinguishes a mortgagor’s right of redeeming a mortgaged estate (“foreclosure“, n.d.). In New Jersey, the statewide foreclosure rate is 0.03% and the unemployment rate is 9.7% resulting from the loss of 179,400 high paying jobs that were replaced by lower paying jobs (Mackenzie, 2009, p. 1). It is clearly evident that the crisis of home foreclosure throughout the

Brooklyn, NY – December 30, 2009 Foreclosures continue to rise drastically across the United States due to the recession, and have effected, and continue to affect thousands of families and individuals every day. One aspect we must take into consideration is that most people are not informed of what foreclosure means, or the process, even those who are homeowners. I believe that one step to preventing foreclosure is to educate first-time homebuyers. In addition, first-time homebuyer programs should not only assist potential buyers with financially preparing them to buy a home, but to keep the home once

The foreclosure crisis swept the nation affecting people of all walks of life. It may have had its deepest reaching impact on first-time home owners. I live this crisis each month when the mortgage comes due and we barely make our ends meet. As a first-time home owner, I was blindsided by varying mortgage payments. Furthermore, the processes in place that were designed to allow relief, only provided temporary respite from the stresses of home ownership. The stories among homeowners are likely very similar and the outcomes equally alike. The mortgage process is daunting and has ended in heartache and disappointment, leaving potential home owners to pursue alternate home-ownershipoptions.

If there is one thing we have learned in the last decade, it’s that almost no one is immune from financial struggles. When the struggle is too much, sometimes it forces us to take drastic measures to survive and move forward in the wake of those struggles. When financial crisis hits we downsize, cutback, and in extreme cases walk away. We are not too far removed from “mortgage meltdown” that began in 2007. Since that time we have seen a significant increase in the amount of foreclosures, short sales, deed in lieu, cash for keys, and bankruptcies.

Foreclosure is an important issue in the United States and needs to be ended or decreased rapidly as soon as possible for the sake of America’s economy. The foreclosure of homes has decreased the state of the economy, and rendered millions of Americans homeless. There are four key solutions that will stop foreclosures in the United States and able millions of American to keep their homes. The first solution is having banks lower their interest rates for all citizens who are in financial need of an interest rate deduction. The second solution is creating jobs that are able to sustain through an economic crisis. The third solution is for states and towns to conduct public seminars on how to manage and budget ones finances during financially

The United States economy has been in trouble for the past couple of years. The foreclosure crisis is a condition that began due to the inability of homeowners to pay their mortgages. Foreclosure is a legal proceeding whereby a lender obtains a legal termination of a debtor’s right to redemption. The foreclosure rates have been increasing for a considerable period and certain steps have been put into place to solve the problem. While the government, financial institutions and the general public are highly aware of the crisis, the steps taken to combat the problem are still not sufficient as the foreclosure rates are still increasing.