BofA Debuts Plan for Underwater Mortgages — New York Real Estate

BofA Debuts Plan for Underwater Mortgages

by Raja Tayeb on March 25, 2010

Underwater Mortgages

Bank of America will announce a program Wednesday to allow underwater borrowers to systematically reduce the principal they owe over five years, as long as they stay current on payments.

The program targets borrowers who owe more than 120 percent of their home’s worth.

BofA is also expected to reduce principal balances on “payment option” ARMs with negative amortization to as low as 95 percent of property’s value.

Beginning in May, BofA is expected to identify and notify homeowners it believes are eligible for these adjustments.


Source: Reuters News, David Lawder (03/24/2010)

Posted via web from New York Real Estate Access | Real Estate Blog

Advertisements
This entry was posted in New York Real Estate. Bookmark the permalink.

Leave a Reply

Please log in using one of these methods to post your comment:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s