Home foreclosures are the end result when home owners fail to pay their mortgage for several months. Once the bank decides to start the process, they file a public default notice. If the defaulted fees are not paid and the home owners can not sell the house, then the mortgage holder has the option to take back the home. When mortgage holders choose this option they usually do it to resell the home on the open market. Real Estate Owned (REO) properties are houses that the bank has foreclosed on. Countrywide home mortgage foreclosures have increased over the last six months. Fortunately Countrywide is proactively taking a position in assisting present patrons pay off their loans while encouraging new patrons to acquire their loans with them.

Countrywide is offering non-countrywide customers a 5.75% rate on a 30 year refinance mortgage while existing countrywide customers receive a rate based on their past payment history. Countrywide home mortgage foreclosures have been on the rise as existing customers aren't able to meet their payments. As previously stated, Countrywide is developing alternatives to help their customers pay off their home home loans. So what are these methods?

One method that Countrywide could offer you is lowering your home mortgage interest rate. Interest rates make a vast difference when it comes to paying a home loan payment. For example, if you purchased a home for $150,000 at a 5% interest rate then you will have paid $7,449.74 after 1 year of paying your monthly payment of $805.23 . So if Countrywide lowered your interest rate only 1% then you will have paid $5951.92 after 1 year of paying your monthly payments . That is a difference of $1,497.82 a year. The bottom line, interest rates make a a vast difference on your payoff amount.

Another method that Countrywide is using to help customers pay their home home loans off is through refinancing their home loan. Let's say you are present have a fifteen year mortgage at $150,000 with a 7% interest rate. If you are finding it difficult to make these payments so you look into refinancing your mortgage to a 30 year mortgage instead of fifteen. With the mortgage rate remaining $150,000 at 7% interest rate for thirty years, your payment would be reduced from $1,348 to $998 which is a difference of $350 a month. That amount in today's cost of living would pay for your gas to travel to work.

Countrywide home mortgage foreclosures have been on the rise over the last 6 months, it is uplifting that they are finding ways to help their customers. If you are having problems making your payments you should look into refinancing your current home loan.

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