Loan Modification Program started Monday -12/15/08

David Stark at BayEast just sent this out:

 

Loan Modification Program kicks in:

On Monday (12/15), the Streamlined Loan Modification Program (SLMP) policies regarding loan modifications and foreclosure prevention became effective. The new policies apply to mortgages held by Fannie Mae, Freddie Mac and privately-held securities.

According to the Federal Housing Finance Agency eligible borrowers must meet the following criteria:

·         They must be owner-occupants;

·         They have missed three or more payments;

·         Have not filed bankruptcy;

·         Have experienced a hardship or change in financial circumstances, and

·         Have not purposely defaulted to obtain a modification.

For more information about the SLMP including several pages of Q&As specifically for real estate professionals, please click here.