Under Pressure

Picture this:  Your home's market value is currently less than what you owe on your mortgage.  You are Underwater.

Take it one step further: You need to sell your house - now.   

Don't feel ashamed, alone, or even responsible, for the loss in your home's value.  About 5 years ago, this would have been a ludicrous idea; but today, it's reality for a lot of folks.  It was common thought that Real Estate would just always go up and up, but the economy is cyclical, and no one can truly predict the future.  Sure, we have trends, data, and graphs that we analyze, and we can see there are obvious indicators.  For instance, 99% of the time, more houses will be sold in June, than in December.

Anyways, I am getting off topic, so back to what I was saying.  If you are underwater, there is a new program that may be of interest to you.  It's called the FHA Short Refi Opportunity Program, for Underwater Homeowners.  It's not getting too much attention in the media, which I find a little strange.  This could help a lot of people, as well as the housing market.  I feel this a federal program that will truly help the economy, because it addresses the unique aspects of our recession.

Basically, the bank "writes off", or forgives, at least 10% of your principal balance. If you have been making your payments on time, are in good credit standing, and your lender agrees, you could qualify for the new FHA insured mortgage.

The only thing I can't seem to find, is if there are any stipulations as to the length of time before you can sell your home.  You will have to talk to your lender about this, there may be no stipulations at all.  If you think you can benefit from this program, click on this link.
http://portal.hud.gov/portal/page/portal/HUD/press/press_releases_media_advisories/2010/HUDNo.10-173

The government is not paying me to endorse this, these are my real opinions.