Foreclosure Mortgage Bailouts
A Foreclosure Bailout Loan is a mortgage designed to save homeowners from having their properties foreclosed upon by their banks. It is essentially a refinance loan. The homeowner takes out a mortgage to pay off the current loan that is in default.
Most foreclosure bailout loans require at least 25% equity in the home and credit scores over 500. While many potential borrowers do not fall into this category, there are some that do and can benefit from the bailout programs.