No Payment Hikes For Up To 3 Years On Certain NJ Mortgage Loans With Interest Rate Resets, Says Governor

In Trenton, New Jersey, PolitickerNJ.com reports:

• Legislation [...] sponsored to extend foreclosure protection to thousands of New Jersey families caught-up in the recent mortgage market upheaval was signed [yesterday] by the governor. The bill (A-2780), the “Save New Jersey Homes Act of 2008,” offers direct aid to homeowners and borrowers affected by the growing mortgage crisis who are facing foreclosure or are in danger of facing foreclosure because of mortgage rates that are about to reset.

• Under the new law, the homeowner continues making their lower mortgage payments while staying in their home; the lender receives monthly revenue; homes aren’t abandoned; families don’t have to suffer stress from relocation and no taxpayer dollars are appropriated. Homeowners with introductory rate mortgages who are facing an interest rate reset are afforded the opportunity to continue their payments at the much lower pre-reset interest rate for up to three years.

For more, see ‘Save New Jersey Homes Act Of 2008' Signed By Governor (Measure Provides Three-Year Reprieve from Foreclosures; Gives Families More Options to Stay in Their Homes).