Sunday, July 31, 2011

Energy Efficient Mortgage, One Practical Help for Homeowners

By John Roney


The energy-efficient mortgage (EEM) was first introduced in the early 1980's but it has gained popularity only recently. To date, the estimate number of homes with an energy-efficient mortgage is less than 10 percent. The Housing and Urban Development recommends American Mortgage Help For Homeowners to apply for an EEM in order to reduce their utility bill expenditures. When you qualify for this type of help for homeowners, your lender will finance the cost of integrating energy-efficient features into your home even when the house is still to be purchased.

* You are a first time home buyer with a credit score of at least 620.
* You will be able to repay the Stimulus Loan until June of next year (without interest).
* Homebuyer must not exceed the maximum household income set by the THDA.
* The mortgage must be under the FHA.
* Borrower must undergo a Homebuyer Education provided by the state of Tennessee before he or she can apply for the said mortgage help.
* The loan servicer (both on the first and second mortgage) must be approved by the HUD. Furthermore, mortgage must be serviced by the U.S. Bank.
In order to repay the loan, you may use your federal tax refund and repay before June, 2011. If you are unable to pay after the due date, an interest rate of 1 percent will be added on your regular monthly payment which must be paid within the period of ten years. Make sure that debts are paid otherwise; your THDA Stimulus Loan will be in default.

Forbearance: A lender takes what is past due including fees and divides it up into smaller payments over several months to help you catch up. Careful- you still have to make your regular mortgage payment on top of this. This is mostly for those with short term loss of work or short term illness who got behind but are now able to catch up or will be in the near future. To get started with this option call your lender and let them know your situation but make sure you can afford the payment PLUS your regular monthly payment.
Short Sale: Selling your house with an agent even though you owe more on it that is is currently worth. The lender pays the agents commissions and the bank will have to approve the sales price. You must be able to show 3 things: You have NO assets (aside from a 401k), you have a hardship, and you are late on your mortgage or you will be late soon if you do not sell. A hardship can be illness, death of loved one, divorce, unemployment, payment increase (due to ARM), extreme debt, transfer of employment. Note: Some lenders like you to go through the loan modification process first The new HAFA program is due to start in April of 2010.

The energy-efficient mortgage is indeed a practical help for homeowners funded by the federally insured mortgage programs, secondary mortgage markets, and lenders. Until now, the loan is rarely used by American borrowers which can greatly help make homes more affordable and cost-effective. The EEM may also be a useful mortgage help as it increase your chance to qualify for an even larger loan amount which boosts your home buying power. This is one practical mortgage that must be exploited not only for the benefit of your own pocket but for the good of our environment as well.
Angie Andrews assists homeowners in trouble on her blog that specifically addresses loan modification. Take control of your own finances, discover options to modify your loan and save your home. There are government sponsored options available and you can get all the information you badly need in Allmand & Lee's Loan Modification Blog.

Angie Andrews assists homeowners in trouble on her blog that specifically addresses loan modification. Take control of your own finances, discover options to modify your loan and save your home. There are government sponsored options available and you can get all the information you badly need in AllmandandLee Loan Modification Blog.
The blog is Angela's way of providing free information about the many unknown programs available to homeowners in trouble. Her years of experience an insight help those in trouble to fully understand the loan modification process. For more specific details about mortgage assistance, federal loan modification and loan modification attorneys see Angela's blog and find out the Secrets About Loan Mods today




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