White House Nixes FHA Secure Program
The White House has decided not to extend their FHA Secure Program past its original termination date of December 31, 2008. High hopes for the program intended to “help people who have good credit but who have not made all of their payments on time because of rising mortgage payments,” could have easily been extended past the original termination date, but poor results nixed the program.
According to the latest issue of National Mortgage News, the program, launched in August of 2007, “refinanced only 4,000 delinquent borrowers. But the news that FHA would refinance subprime adjustable-rate mortgages attracted over 460,000 borrowers who were making their payments but wanted to refinance into a lower cost FHA fixed-rate mortgages.”
Despite interest from HUD and various lenders to keep the program going, the White House decided it was time to end the initiative. The FHA Secure Program is not the only federal loan-mod program to prove unsuccessful. HUD’s Hope for Homeowners has come under repeated criticism for failing to achieve their goals.
Have any of you been a part of an unsuccessful loan modification?
June 18th, 2009 at 7:52 am
This is the time that White House should help about those people whose one foot are the ebb of a hole. They are really to extend debt repayment of those who obtained these, especially now that cash is not difficult to find due to the financial crisis.
June 30th, 2009 at 5:13 am
I think this only shows the strategic problem of WH
June 30th, 2009 at 9:02 am
Jack,
None of these housing rescue initiatives are working the way they would have liked. It must be strategical.
Thanks for commenting,
Tim