A fun place to discuss mortgage rates
Measures introduced by the Obama Administration in early 2009 to provide relief to underwater homeowners and to stabilize the housing market through the generation of low mortgage rates helped to make mortgage refinancing easier. Underwater borrowers can realize big benefits through mortgage refinancing. Many of these borrowers took advantage of the recent housing market boom by taking on mortgage debt they had no ability to repay. Aggressive and unscrupulous lenders fed the frenzy by offering adjustable rate mortgage loans with extremely low introductory rates that rose dramatically after the deal was closed, forcing borrowers to default. When the housing market crashed, these borrowers were left with homes that had dramatically reduced in value, many to an amount less than that of the outstanding mortgage balance and leaving the homeowners underwater, so to speak.