A Blessing Extends for Fannie Mae/Freddie Mac Borrowers

It's Certainly About Time!

Finally, someone has realized that our homeowners need help. For months we've witnessed huge bailouts for corporations in effort to boost the American economy. However, at the same time, millions (and note I said millions) of homeowners have lost their homes. Some even took the necessary steps and contacted their lenders in attempts to try to establish a work-out plan and get them back on track with their mortgage payments only to be turned away and/or discouraged. Who will help bailout our homeowners?

This is a questions I often ponder as I witness firsthand the surge in foreclosures and short sales---superseding the actual numbers of new construction and regular listings available. Often when the question is raised in the media, the responses are centered upon the belief that (1) homeowners were irresponsible (2) homeowners got homes they just couldn't afford (3) everyone was greedy in this industry, out to make a dollar.

Now, while all of these did play a significant role leading to the surge in foreclosures, there is a group of indivduals suffering as well and without a doubt, overlooked. We are overlooking the hard-working, responsible homeowners who are losing their homes and suffering as a direct result of the economy! They have lost or are in jeopardy of losing their homes because they have faced a financial hardship: Job Loss! They can't pay their mortgage simply because the economy has gotten so bad companies have closed their doors or layed people off. No one has been spared, no industry is immune!

With the surge in the number of foreclosures throughout Charlotte, NC. and around the country for that matter, I was ecstatic to hear yesterday evening that Fannie Mae and Freddie Mac have devised a temporary relief to foreclosures. Both Fannie Mae & Freddie Mac are temporarily halting all foreclosures on all homes currently in default from November 21st through January 2009.

This means if a current homeowner has a primary Fannie Mae or Freddie Mac based loan and they are in jeporady of foreclosure, have received a hearing regarding a foreclosure, or worst--have their homes scheduled for foreclosure, then these procedures have been placed on hold at least until January 2009.

Now with most good things, there's a catch. The catch here is that the home MUST currently be occupied and NOT vacant. So, homeowners who have made the decision to vacate their homes may not be immune. However homeowners who are considering moving out as a result of their mortgage woes really need to re-consider making the move. If they want to actually save their home from foreclosure or even hire a real estate pre-foreclosure/short sale specialist to short sale their home, then they need to make sure their home is occupied and not vacant to take advantage of this opportunity!

During the dedelayed process, both Fannie Mae and Freddie Mac's plans are to develop new strategies to employ to help homeowners save their home and get back on track, if possible. Their goal is to save as many homes as possible and avoid adding to the expected increase of foreclosures throughout the country projected the first of the year.

For more information about steps you can take to save your home from foreclosure, feel free to contact Jaclyn Erwin, ABR, Realtor. www.TeamJaclyn.com