If your mortgage is held by Fannie Mae and Freddie Mac and you are facing foreclosures due to non payment of the monthly installments, you can go for a loan refinance by your lender and save your home ownership. Home refinance is going to offer relief to all the homeowners who are delinquent on their home loan payments and are left with no other option than going for foreclosing the loan and lose the home ownership.
Here are the guidelines which would help you understand whether you are eligible for Fannie Mae and Freddie Mac refinance or not:
1. If your loan is one which has been guaranteed by any of the two companies, then your loan is eligible for refinance.
2. If your home is used for residential purpose and is your primary residence, then you can go for home refinance. But, keep in mind that the borrower's home shall not be having more than one family residing in the house.
3. If you have been making regular monthly payments from twelve months then the mortgage is eligible for refinance. By regular we mean that, not even a single monthly payment in last twelve months should be made after 30 days of the previous month and it should not have a delinquency of 30 days; if you wish to go for a refinance from either Fannie Mae or Freddie Mac.
4. If your mortgage with the lender has exceeded 105% of the current value of your house, it is very much eligible for the program and can be refinanced.
5. With Fannie Mae and Freddie Mac the new loan installment amount would not exceed 38% of your gross monthly income and all the loans whose monthly installments are more than 38% of the monthly income of the homeowners would get a refinance option open for them. The amount can further also be reduced to 31%.
