by iwd Tina | Jun 20, 2011 | Housing News
The FDIC has initiated a systematic loan modification program at IndyMac Federal Bank to reduce first lien mortgage payments to as low as 31% of monthly income. Modifications are based on interest rate reductions, extension of term, and principal forbearance.
The FDIC’s proposal is designed to promote wider adoption of the systematic loan modification program:
- by paying servicers $1,000 to cover expenses for each loan modified according to the required standards; and
- sharing up to 50% of losses incurred if a modified loan should subsequently re-default
The FDIC envisions that the program can be applied to the estimated 1.4 million non-GSE mortgage loans that were 60 days or more past due as of June 2008, plus an additional 3 million non-GSE loans that are projected to become delinquent by year-end 2009. Of this total of approximately 4.4 million problem loans, the FDIC expects that about half can be modified, resulting in some 2.2 million loan modifications under the plan
Please click here to read further details of the proposal on the FDIC’s website.
by iwd Tina | Jun 20, 2011 | Housing News
Secretary Bigby and the Governor’s Office have approved the Community First Olmstead Plan linked below. “Community First” continues to be one of the Secretary’s top priorities. The Governor “officially” received the plan on September 12th.
Please click here to view a PDF version of the plan.
by iwd Tina | Jun 20, 2011 | Housing News
On September 29, 2008, HUD released a Notice outlining the procedures under which the new Neighborhood Stabilization Program (NSP) for foreclosed or abandoned properties will operate. The Notice is effective immediately. In it, HUD explains that it is treating NSP funds as an FY2008 “special allocation” of Community Development Block Grant (CDBG) funds and specifies the ways in which NSP requirements will and will not differ from CDBG requirements. The Notice also includes a listing of allocations by state and locality nationwide.
- CHAPA’s Summary of the Notice can be read here.
- For HUD’s description of the program and a list of allocations, please click here.
- Please click here to view the full text of the Notice.
by iwd Tina | Jun 20, 2011 | Housing News
Please click here to read the full final report.
Mass.gov has additional information here.
by iwd Tina | Jun 20, 2011 | Housing News
On September 29, 2008, HUD released a Notice outlining the procedures under which the new Neighborhood Stabilization Program (NSP) for foreclosed or abandoned properties will operate. The Notice is effective immediately. In it, HUD explains that it is treating NSP funds as an FY2008 “special allocation” of Community Development Block Grant (CDBG) funds and specifies the ways in which NSP requirements will and will not differ from CDBG requirements. The Notice also includes a listing of allocations by state and locality nationwide.
- CHAPA’s Summary of the Notice can be read here.
- For HUD’s description of the program and a list of allocations, please click here.
- Please click here to view the full text of the Notice.
by iwd Tina | Jun 20, 2011 | Housing News
WASHINGTON – The Obama Administration today announced details of new efforts to help bring relief to responsible homeowners under the Making Home Affordable Program, including an effort to achieve greater affordability for homeowners by lowering payments on their second mortgages as well as a set of measures to help underwater borrowers stay in their homes. Please click here to view the full press release.
