President Obama wants to help millions of responsible homeowners save hundreds of dollars each month by refinancing their mortgages.
Today, home interest rates are at historic lows—on average, below 4 percent. The average homeowner could save $3,000 a year by refinancing at today’s low rates, but far too many borrowers are locked out of a chance to do so. Complicated application processes and eligibility requirements, costly appraisals, and the fact that many homeowners owe more on their mortgage than the value of their home make refinancing all but impossible for millions of Americans.
What is President Obama’s plan to help homeowners?
President Obama’s plan is simple: make it easier for millions of responsible homeowners to refinance, even if they are underwater, regardless of who owns their mortgage. The President’s proposal would establish a quick and hassle-free process for homeowners who are current on their mortgage payments and want to refinance—no more tax forms, and no more appraisals—just a lower interest rate, and lower payments each month.
Refi: In 60 Seconds