A new mortgage help plan coined “Project Lifeline” was unveiled today by the Treasury Department and the Department of Housing and Urban Development.

The plan will assist borrowers who are 90 days or more past due on their mortgage, and will not be limited to high-cost subprime mortgage holders like previous such as the FHA Secure or HOPE NOW plans targeted.

The plan will involve many of the largest mortgage lenders in America such as Bank of America, Citigroup, Countrywide, JPMorgan Chase, Washington Mutual and Wells Fargo.

Project Lifeline will allow seriously delinquent homeowners to delay foreclosure proceedings for 30 days while lenders attempt to work out new terms to avoid one.

“For many families, Project Lifeline will temporarily pause the foreclosure process long enough to find a way out. Loan modifications may follow. And, this program is not only available to subprime borrowers but to people with any kind of home mortgage,” said HUD Secretary Alphonso Jackson.

The plan is intended to supplement efforts already in place via programs like FHA Secure and HOPE NOW, which offer some solutions to homeowners but leave many others with few places to turn.

“The sum total of these actions is a powerful correction to the downward spiral of the housing market. It will lead to a reversal of misfortune, saving homes and equity, providing necessary sanity and salvation for many families on the brink of foreclosure,” said Jackson.

If the FHA Secure program is a program that is not designed to help you, it is possible that Project Lifeline will help.  It may also be possible to participate in the Project Lifeline program while finding the right FHA Refinancing option that will put you in a long-term financing solution.  Call me today to find out more.

-- Tammy