User Profile

Annika Berg

Bio Statement Home Stimulus Plan - Help For a Weak Economy

The economy is not thriving, at best. Even the most optimistic of economists have to admit that the picture is not very bright. The housing market has basically tanked. No one is buying houses, no one is building houses, no one is financing houses, and in some parts of the country, not too many people can even make the payments on their houses. Foreclosure is at an all-time high. Right at the right time, the Obama administration has pushed through a Home Stimulus Plan that contains billions of dollars in funding to help stimulate the housing market.

The bill contained funding to help First Time Home Buyers purchase a home. This help is in the form of a tax break of 10% of the purchase price of the house, or $8000.00, maximum. This tax credit is a refundable credit, so that a home buyer doesn't have to owe that much in taxes in order to benefit from it. Homes must be purchased between January 1, 2009 and December 1, 2009.

The stimulus program also had funding to assist people in getting a mortgage loan refinanced. Traditional refinancing requires 20% equity in the home, but because of the dropping market value of homes, they no longer have that much equity. This program allows for someone to owe up to 105% of the home's current market value. This program expires June 10, 2010.

The part of the program for people facing imminent foreclosure is the loan modification package. This funding provides incentives to banks to rewrite existing loans and lower the payments for homeowners who can no longer pay the payments due to financial hardship. These rewritten loans can have lower interest, longer terms, and even reduction of principal. These tax refund advance loan turbotax modifications have a deadline of December 31, 2012.

There are specific application guidelines for each program. Whatever part of the Home Stimulus Plan you might qualify for, don't delay in your application. Get all the details, gather your documentation and begin to prepare your budget and paperwork to submit your application.

To get help right away, click here for more information about the home stimulus package.