Senator Lamar Alexander Says 67,000 Tennesseans Could Refinance Home Loans

U.S. Senator Lamar Alexander hopes to raise awareness about a program that could help thousands of Tennesseans.  He says roughly 67,000 Tennessee homeowners with overdue mortgages could use "Hope for Homeowners" to refinance their loans.

“HOPE for Homeowners" is a way for homeowners to refinance delinquent mortgages if their lenders agree to participate.  This program is a good step toward boosting confidence in the housing market and helping preserve the American dream for the millions of people facing possible foreclosure,” says Alexander.

His office says "HOPE for Homeowners" is a voluntary initiative to help distressed borrowers refinance their mortgages.  It was established as part of the Housing and Economic Recovery Act of 2008.  Alexander voted for HERA, which was signed into law in July.Tennesseans who had delinquent mortgages in the second quarter of this year and are at risk of losing their homes may be able to refinance their mortgages if their lenders agree to participate in the program.  Only certain owner-occupants would be eligible to refinance their primary residences – no investors or investment properties would qualify.  Homeowners must certify that they have not intentionally defaulted on their loans.  Loans must have originated earlier than 2008. And borrowers are required to retire any debt on the home (such as a home equity line of credit).

The program is temporary and will runs from October 1, 2008 through September 30, 2011.

For more information call 1-800-CALL-FHA or visit  www.FHA.gov