President Barack Obama rolled out his $75 billion, three-part plan Wednesday to halt the soaring rate of mortgage foreclosures nationwide, one that seeks to encourage refinancing of homes now worth less than their mortgages and provides incentives for lenders to lower the debt load on struggling homeowners.
The Homeowner Stability Initiative is meant to provide refinince options for people who are delinquent in their loans or who are at-risk borrowers. They will be able to refinance their mortgages so that not more than 31% of their income is going towards mortgage payments each month. The initiative will also give incentives to lenders.
For complete info and a Frequently Asked Questions page, check out the White House website.