The Obama’s mortgage loan modification is failing miserably as the expected recovery of the mortgage industry is seriously in jeopardy. It has all indications of failure and if you look at the numbers recently release, it shows a very poor performance.

The Obama loan modification plan was suppose to be a relief to those homeowners who are in dire need of help to keep their homes and eventually save more homes from foreclosures. It was meant to be permanent help for those homeowners who are hit hard by the mortgage industry collapse. But there is only about 4 percent of the applicants were approve for the plan which means a dismal performance to say the least.

The federal government modification plan was to have these loan modifications be  permanent and to get as many homeowners into the plan or program. but things are going as planned.

(The following is a part quote from AP-Associated Press article/news via Yahoo news rss feed) and it reads like this:

Among big lenders, Bank of America Corp. had the worst performance in the Treasury Department report card released Thursday. The nation’s largest lender completed just 98 modifications for the 160,000 borrowers who had signed up by the end of November. GMAC Mortgage had the most modifications of any lender, just 7,100.

About 760,000 have signed up for the program since it launched in March. But as of last month, just over 31,000 homeowners had received permanent loan modifications. Nearly the same number have fallen out of the program completely either because they missed payments or were found to be ineligible.

The report shows the administration is not going to hit its long-term target of helping up to 4 million borrowers with modified loans, said Ted Gayer, an economist at the Brookings Institution.

The more borrowers the program can’t reach, the more foreclosed homes will spill onto the market, pulling down home prices. About 14 percent of homeowners with a mortgage are either behind or in foreclosure.

This shows you bad the situation is and the recovery efforts are not really working as they ar planned. Obama or anyone else might have a hard time getting this mess fix!

So to this point the Mortgage Loan Modification plan has failed miserably and hope it will get better soon for the sake of the US mortgage industry as well as the rest of the world who relies on Big Uncle Sam to spur the world economies.

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We haven’t made any changes to our home, and there aren’t any outstanding liens on the property. Some of the most common ones are. Nearly 5 million American homeowners will qualify for help, under the Obama federal loan modification plan. Too many consumers fall into the trap of refinancing a mortgage in order to lower their monthly payments without considering how that refinancing affects their total net worth.

If you have been paying the full monthly mortgage on time until now but feel that in the near future these payments will be difficult to meet, then you need to give the exact reasons why you feel this way. Daily bond fluctuations can serve as good indicators of the direction interest rates may be moving. First, you will have to have at least a 650 credit score for anybody to even think about doing this type of loan for you. It’s important to consider what mortgage rates are doing.

There are some other benefits that a home mortgage refinancing may have, besides the extra amount of money that we have already discussed. If you are an hourly employee who works a straight forty hours a week and don’t earn overtime income, then it’s easy, too. Copies of asset information, Including accounts holding money for closing costs, statements for savings, checking and 401K accounts and investment records for mutual funds or stocks. Amortization calculators can be found on most mortgage-related websites. The reason you were locked into a higher rate of interest was a poor credit score. With the remaining term shorter on the old loan and longer on the new one, the difference in monthly payment rises to $1238.

This option is a good choice if you are not planning on moving within the next five years. When refinancing however, your old mortgage will most likely have money in an escrow account that can cover these costs. Things To Keep In Mind When Looking For A Home Mortgage Refinancing. Do you have a child going off to college soon? Each individual money lender may have different policies that they adhere to such as checking credit, verifying your references or verifying your employment.

Mortgage companies are lending investor’s money so they may be able to get you a lower rate depending upon what investor is willing to accept return on. Money is so cheap that we have not had this type of environment in a half a century. How much cash out you can receive by refinancing depends largely upon the principal balance remaining on your mortgage and the amount of equity in your home. Finally, one of the best ways to improve the likelihood of obtaining a home mortgage refinance is to ensure that your personal finances are in the best possible order.