Till date, many positive CitiMortgage loan modification & refinancing experiences and reviews have been posted online by the applicants that have managed to save their houses and enjoy the benefits brought about by President Obama's 2009 Stimulus Package to make homes affordable again. If you are among the many US home owners countrywide that are worried about the many house foreclosures that are happening around them due to the collapse of the global economy, act now and do not hesitate any longer.

Lenders such as Citimortgage and Chase are bound by the agreements they signed under Stimulus Package to offer loan modification services to every homeowner who qualifies under the relaxed guidelines. So if you have been previously rejected for a mortgage refinance or modification, you can now try again under this new federally subsidized program. Citibank is now more motivated to help home loan borrowers, as all transactions are now supported by the US Treasury Department.

These are the basic program eligibility guidelines you need to satisfy in order to be granted a loan mod from the homeowners stability package.

Is your home mortgage loan from before January 1, 2009?

Are you primarily living in the house whose mortgage is to be modified under this plan?

Is your outstanding home loan below $729,750?

Are your current monthly mortgage installments (inclusive of mortgage insurance, taxes etc) exceeding 31% of your monthly gross income?

If all of the above applies to you, you just need to write a hardship letter and provide information to prove the above conditions and you will stand a high chance of getting the Citi Mortgage loan modification refinance. Your current mortgage interest rate can be reduced to as low as 2% for the next 40 years, such that homeowners can afford the modified affordable monthly repayment amount and continue to live in their own houses.

Homeowners are being encouraged by President Obama to work with the banks to get a home mortgage refinance/modification in order to save their houses. There is a $1000 homeowners incentive for those that choose citimortgage loan modification instead of ending up in short sale or foreclosure. Another benefit to motivate homeowners is that, if you can be punctual on your modified monthly mortgage installments for 5 years consecutively, you will get a total of $5000 financial incentives to reduce their remaining mortgage loan.

How To Apply For The Mortgage Loan Modification

If you are already behind your monthly mortgage payments by 60 days, the CitiMortgage Loss Mitigation Department will automatically mail you a packaging listing some potential mortgage modification and refinace solutions for your consideration. On your part, you do need to write a clear and complete so-called hardship letter explaining how your financial situation is affecting your ability to continue the current mortgage installments at their prevailing rates and how you will be able to continue servicing the payments at the new reduced rates after a successful home loan modification refinance.

Other necessary documents include your credit reports, income statements, lists of expenses, etc. Before submitting your application in a hurry, it is better to surf online and look at the examples provided by homwowners that have already been approved for the obama loan modification plan. You can also contact the bank directly via phone or through the official websites if you have any doubts or questions regarding their guidelines when preparing your case.

When processing your application, citimortgage loss mitigation officers will contact you for further clarifications regarding your eligibitilies for the home mortgage modification grant. You may want to have all the necessary documents by your side so that your verbal answers will be consistent with what you have submitted in your application package.

Yes, there are many fraud cases and home loan modification scams happening right now, which iis why the banks are being careful to make sure homeowners that do not meet the guidelines are being filtered out to ensure sufficient resources are left for those truly in need of help to make their mortgage payments affordable.

Do It Yourself Home Loan Modification

We believe most homeowners looking forward to a successful citimortgage loan modification will be able to prepare all necessary documents and on their own without paying expensive fees to mortgage modification companies. All the necessary information and examples have been widely shared freely online, and by putting in some effort in a few hours of searching, it is definitely feasible to do it yourself without a scammy so-called loan modification specialist.

You can also seek free help and advice from counselors appointed by the US HUD (Housing And urban Development) to help with any queries you may have regarding the entire 2009 Citimortgage loan modification process. Remember that these consultations are employed by the Federal Government to provide free advice, so do not get scammed into paying for services that do not cost a single cent.

Bad credit mortgage lenders such as Countrywide and Citimortgage are willing to help many consumers with home loan modifications because they cannot take on so many foreclosures and have their money stuck in real estate and properties. They are primarily a bank and in the business of lending money. That is why this bailout programme benefits both parties. Homeowners can continue to make payment on the reduced installments and get a second chance to get their poor finances sorted out.

Benefits of Citibank Loan Modifications

Aside from the financial incentives to encourage homeowners to take part in this 2009 stimulus program to save more houses from foreclosure and short sale, a loan modification actually means you are only restructuring the terms of your mortgage loan and not really rewriting it. The following are some examples but the specific situation depends on your lender and your personal circumstances.

You can get a waiver or suspension on mortgage installments for a few months.

You can get a substantial reduction in your mortgage interest rate.

You can get your loan term extended by up to 40 years.

You can get a refund on your prepayment penalty if you have been made a home loan refinance.

You can get your home mortgage completely or partially cancelled if there are serious violations in the APR calculations.

Now, the loan workout program has been further expanded to include second trust deeds as well where the interest rates can be reduced to as low as 1%. There is a chance for homeowners with second liens and have lost significiant percentage of home equity to have their debt retired.

Do not be confused and think that the Citimortgage home loan mod will give you a free house. You application must tread the fine line between not being able to afford the current mortgage installment and not being able to pay anything at all. That is why proof of income and ability to make reduced home loan installments is very important for approval, even though this fact is not well highlighted by many loan modification companies and experts while soliciting business.

If you cannot afford to pay even after reducing the installments, then a short sale can still be inevitable. The primary purpose of the Citimortgage loan modification & refinancing is to make mortgage payments affordable such that foreclosure can be prevented and both parties win.