As the housing situation remains stagnant the Obama Administration looks to expand their $50 billion plan with a new program which will help people to modify their second mortgage or piggyback loans.

Much like the other plans they are offering cash incentives to lenders who agree to reduce the monthly payments or forgive the loans entirely.

Many people are upside down on their homes because they took out second mortgages to purchase homes with little to no down payment or to pay for home improvements, but those second-lien mortgage must be negotiated separately. This often makes it more difficult to modify primary loans.

This addition to the Housing Plan could help over a million homeowners.

This entry was posted on Wednesday, April 29th, 2009 at 4:53 pm and is filed under Foreclosure. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.