Home foreclosures are the end result when owners fail to pay their mortgage for an extended amount of time. When the bank makes the decision to act, they file a public default notice. If the mortgage is not paid and the owners can not sell the house, then the lender has the option to take back the home. When mortgage holders choose this option they normally do it to resell the home on the open market. Real Estate Owned (REO) properties are homes that the bank has taken back. Countrywide home mortgage foreclosures have increased over the last six months. Fortunately Countrywide is actively taking a stance in aiding present patrons pay off their home loans while encouraging new patrons to obtain their home 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 are not able to meet their payments. As I mentioned before, Countrywide is creating other methods to assist their customers pay off their home home loans. What are these methods?

One method that Countrywide may offer you is lowering your home mortgage interest rate. Interest rates make an enormous difference when it comes to paying a home mortgage 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. As you can see, interest rates make a an enormous difference on your payoff amount.

Another method that Countrywide is using to aid customers pay their home home loans off is through refinancing their home mortgage. Let's say you at this time have a 15 year mortgage at $150,000 with a 7% interest rate. If you are finding it hard to make these payments so you look into refinancing your mortgage to a thirty year note 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 and from work.

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