If there weren’t enough government programs available to us already….. Here is the latest. If youdont currently qualify for any of the rescue plans, which will allow you to refinance your home up to 125% of its value…….. You may now qualify for the NEW Fannie Mae program. This new program. Next person……step right up !! Here is the scoop. The government will allow you (borrower) to stay in “your” home, as Fannie Mae takes over the Deed to your property, and offers you a rental option, at market prices. SO……if you overpaid, while of course putting nothing down on your home in a Slick, option interest loan, using 48% income to payment ratio, here is your newest option of rescue.
Lets summarize folks: Fannie plans to allow home-owner’s facing foreclosure to stay in their homes and rent them for up to one year, with a possiblity of extension. The Deed For Lease Program offers borrowers who did not qualify for any of the current rescue plans one more option. This will allow Fannie Mae to hold inventory off of already Saturated housing markets, while they make bets that the market will regain strength in one years time. Oh….and if your a “good” borrower whom hasn’t missed any payments, you dont qualify for the program. Yes you will be punished by the government for fulfilling your mortgage obligations. Imagine that…and one last thing, Freddie Mac will be considering whether to extend longer term leases to its borrowers when they roll out there own version of this plan.