Some research this afternoon on the housing bill and the FHA rescue plan for 400,000 struggling U.S. homeowners led me to this helpful fact sheet from the government.
Bottom line it looks like the best way to get this government refinance into a fixed-rate 30-year loan based on the home's value today is to be as current as possible on your loan and call your lender NOW.
It might be difficult, as always, getting the lender's attention. But some experts think that those big lenders that are already sitting on tons of foreclosed properties might be open to ditching their problem this way. They'll have to write down the principal of the loan and take a loss, but they would have taken a loss, anyway.
I am told the rescue program will allow you to refinance even if you are behind on payments and owe more than the house is worth. It begins Oct. 1.
For those who want the finer details the entire 694-page housing bill is here.
The part about the FHA Rescue - called the Hope for Homeowners Program - is Section 1401, pages 394-420.
I'd award a prize to anyone who reads the entire bill. But anybody who said they did would obviously be kidding.
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