The Bush administration announced a plan to help struggling homeowners avoid losing their homes to foreclosure effective this past Tuesday.

The other night, Virginia from Irving Texas asked on this weeks Massive Profits in Foreclosures call “ Will this change the landscape for investors working with those in Foreclosure?”

The Answer is YES- – -for the better.

You be the good person to help the homeowner make sure they have evaluated all their options.

These are two ways you can help the homeowner take action before foreclosure:

#1 Learn and share all options available to the homeowner if they do not want to sell their house. You can find those in this book, ‘Avoid Foreclosure Following the SMART STEPS Plan’.

#2 Make sure they have done all they can with Project Lifeline.

This project allows you, as the investor, more time to work with homeowners on a plan to buy their house should the bank’s option not meet the homeowner’s needs.

What is Project Lifeline?

The program would let qualified homeowners who are at least 90 days late on their mortgage payments pause the foreclosure process for 30 days. During the extra time provided by the program — called Project Lifeline — lenders and borrowers would try to work out more affordable terms.

“Project Lifeline is aimed at homeowners who face a real risk of losing their home and have not yet addressed the problem,” he told reporters. “Perhaps they are hoping to find a way to get current on their mortgage payments, or perhaps they don’t think any solution is possible. For whatever reason, they have not yet taken action. Our hope is that today’s announcement will reach them, and they will reach out immediately for help.” Secretary of the Treasury Henry Paulson.

On a pilot basis, the plan involves only six of the largest mortgage lenders, in hopes that more lenders will sign on. The participants are Bank of America Corp., Citigroup Inc., Countrywide Financial Corp., JPMorgan Chase & Co., Washington Mutual Inc. and Wells Fargo & Co.

“Achieving contact with homeowners to present available options is the biggest obstacle we face in avoiding preventable foreclosure,” said Bank of America’s Floyd Robinson.

You can help the banks biggest obstacle by making sure anyone you talk to in foreclosure knows about Project Lifeline. This means you will be working with those in foreclosures with the “integrity and passion”. Remember to encourage the homeowner to contact you first to buy the property if things are not worked out with the bank. And wish them the best. It’s the right thing to do.

Tamera Aragon
Success Trainer and Coach
Ispiproperties.com