AOL Real Estate - Blog http://realestate.aol.com/blog AOL Real Estate - Blog http://realestate.aol.com/blog/media/feedlogo.gif AOL Real Estate - Blog http://realestate.aol.com/blog en-us Copyright 2012 Weblogs, Inc. The contents of this feed are available for non-commercial use only. Blogsmith http://www.blogsmith.com/Obama's Refinance Plan Explainedhttp://realestate.aol.com/blog/2011/10/24/obamas-refinance-plan-explained/http://realestate.aol.com/blog/2011/10/24/obamas-refinance-plan-explained/http://realestate.aol.com/blog/2011/10/24/obamas-refinance-plan-explained/#commentsFiled under: ,,

By Nick Timiraos

The Obama administration is revamping a program that's designed to let more homeowners refinance their mortgages even if they don't have any equity. This isn't a new program, but instead attempts to turbo-charge an existing federal initiative called the Home Affordable Refinance Program.

Here's a look at some frequently asked questions:

What is HARP? The Obama administration in 2009 rolled out HARP to refinance borrowers whose loans were backed by Fannie Mae and Freddie Mac and who were current on their payments. The idea was simple: If you were making your payments on time but didn't have enough equity to refinance, you would be able to lower your rate without having to pay down your mortgage balance or take out mortgage insurance.

Initially, the program was limited to borrowers who owed between 80% and 105% the value of their homes. In mid 2009, the program was opened to borrowers who owed up to 125% the value of their homes.

But a series of unforeseen "frictions" have led fewer borrowers to take up on the offer of lower rates. Fewer than 900,000 homeowners have refinanced under HARP over the past 2½ years, and just 72,000 of those borrowers have loan-to-value ratios between 105% and 125%.

Click here for the rest of the Q&A.

See also:
Obama to Announce Refi Help for Underwater Homeowners

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]]>HARPhome affordable refinance programhousing crisismortgage refinance ObamaObama refinance planThe Wall Street Journal2011-10-24T10:40:00 00:00Can Being Late on Your Mortgage Make You Sick?http://realestate.aol.com/blog/2011/10/21/can-being-late-on-your-mortgage-make-you-sick/http://realestate.aol.com/blog/2011/10/21/can-being-late-on-your-mortgage-make-you-sick/http://realestate.aol.com/blog/2011/10/21/can-being-late-on-your-mortgage-make-you-sick/#commentsFiled under: ,,

By S. Mitra Kalita

The foreclosure crisis may be making Americans sick.

A study published online yesterday in the American Journal of Public Health surveyed nearly 2,500 homeowners over the age of 50 who were asked if they had fallen more than two months behind on their mortgage payments since 2006.

Of those who had, 22 percent developed depressive symptoms over the next two years, compared to only 3 percent of those who weren't delinquent. Twenty-eight percent reported food insecurity -- meaning that they were hungry or did not have adequate access to food in their households -- compared to 4% for those who weren't behind on their payments.

And about a third said they were not taking medications properly due to cost, compared to 5 percent of those who weren't delinquent.

Read the full story at The Wall Street Journal.

More from The Wall Street Journal:
Higher Mortgage Caps: Back From the Dead?
Bottom Line on Rentals: Expect to Pay More
Behind the Numbers: The Housing Crash Continues

Also see:
HAMP Mortgage Modification Program Still No Help
The Mortgage Fix That Can Save the Economy

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]]>American Journal of Public Healthforeclosure and healthforeclosure crisishealth effects of housing crisishealth effects of mortgage crisishousing crisismortgage crisismortgage delinquenciesThe Wall Street Journal2011-10-21T11:00:00 00:00Housing Crash Scares Away Younger Buyershttp://realestate.aol.com/blog/2011/10/20/housing-crash-scares-away-younger-buyers/http://realestate.aol.com/blog/2011/10/20/housing-crash-scares-away-younger-buyers/http://realestate.aol.com/blog/2011/10/20/housing-crash-scares-away-younger-buyers/#commentsFiled under: ,

By Michael S. Derby

The younger you are, the more freaked out you are likely to be by the housing market crash.

A new paper by Federal Reserve Bank of Boston economists used consumer sentiment data collected in the Michigan Survey of Consumers over the summer to try to find out how the housing market's terrible state of affairs was affecting the willingness to buy a new home.

Age mattered, which suggests that a new generation may be coming along that will cast a wary eye at home ownership for a long time to come. The finding also suggests a new headwind to future growth levels, given that it's hard for the economy to achieve a better rate of growth when the housing sector remains moribund.

The Michigan data suggests that younger survey respondents "are relatively less confident about home ownership after larger declines, while older respondents are relatively more confident," the paper said.

Read the full post at The Wall Street Journal.

More from The Wall Street Journal:
Only the Good Buy Young?
The Clean Air Is Included In the Rent
What Percent Are You?

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]]>Federal Reserve Bank of Bostonfirst home buyershome buyer confidencehome buyingyoung home buyersThe Wall Street Journal2011-10-20T15:00:00 00:00