Posted on: 18th Feb, 2009 09:14 am
I would like to hear feedback about this? How do you guys feel about this? Do you think it will work? It says the lendor cannot take more then 31% of a persons income to pay a month if there house is worth less then what they owe, Which is the problem for most people in here asking for help.
Yes, I think it's a start! Here is how it works:
1. The Lender can lower the rate to as low as 2% to get the debt ratio at or under that 31%, if that does not work, the lender would then 2. add upto 10 years on the mortgage to pay back the mortgage, and then if that does not do it, as a last measure 3. the Lender would reduce the balance of the mortgage
Given the process above, this should allow for them to stay in the home and the payments affordable.
Also, keep in mind that if there is another person who is on title and lives in the property, but is not on the loan, you can ask that they be added to the loan, this can help them qualify.
1. The Lender can lower the rate to as low as 2% to get the debt ratio at or under that 31%, if that does not work, the lender would then 2. add upto 10 years on the mortgage to pay back the mortgage, and then if that does not do it, as a last measure 3. the Lender would reduce the balance of the mortgage
Given the process above, this should allow for them to stay in the home and the payments affordable.
Also, keep in mind that if there is another person who is on title and lives in the property, but is not on the loan, you can ask that they be added to the loan, this can help them qualify.