How does the Housing rescue bill help struggling homeowners?

Question

How does the Housing rescue bill help struggling homeowners?

Answer 1

The bill would help to lower your mortgage payments.  A government backed lender would buy your mortgage from your current mortgage company at about 90% of what your home is worth (not what you paid for it).  Considering that so many people have negative equity that is a tremendous help.  

In my case I bought my house for 132,000 in 2006 but now it is only worth 110,000.   So, through this program I would have a mortgage for about 99,000 instead of the 127,000 that I currently have.  And this program is supposed to give you a lower fixed rate loan as well.  That would substantially lower my monthly payment.  

Obviously there is a little more to it than that, so check out this website for more information.  Good luck!

Answer 2

you might find it interesting to read the article in the link below.

there are some benefits for those looking to buy in the next year but there are also some disadvantages.

http://www.nytimes.com/2008/07/25/busine...

Answer 3

it should help over here in uk if a person has fallen on hard times there is help

Answer 4

It is supposed to allow those who have the MEANS to re-pay to negotiate a new re-pay plan that is more level. But for those who had no buisness being in a home in the first place (ie you had one person working for $30,000 a year and one staying home and not working and you got into a $250K home with a loan that would readjust in a few years or you opted to extend 3 mortgages on your house to pay for various things) this bill will not help you. Actually, from the sounds of the bill, they are counting on you to default and then will offer some aide to the bank-not the borrower.

Answer 5

it doesn't it makes them pay for the people who lost their home