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Details of the foreclosure prevention plan include:

· Decreasing second-mortgage interest rates to as low as 1 percent for five years for some borrowers.

· Reviving a Federal Housing Administration effort to persuade lenders to reduce loan balances so that borrowers again have equity in their homes.

· Funding from the program will come from a previously authorized $50 billion allocation from the $700-billion Treasury Dept. rescue fund established by Congress last year.

· The plan would provide cash incentives to both loan officers and borrowers for successful second-mortgage modifications. A loan officer would receive $500 upfront, plus $250 annually for up to three years as long as the loan remains current. Borrowers who make payments on time will receive $250 a year for up to five years.

Home prices edge upward?

Although it’s too early to say the market has bottomed out, there are some indicators that prices may be stabilizing.

MAKING SENSE OF THE STORY FOR CONSUMERS

· The median price for existing, single-family homes rose 2.2 percent in March in California, according to the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.). March marked the first month since August 2007 that the state’s median sales price rose in month-to-month comparisons. According to the C.A.R. sales and price report, the median price of existing, single-family homes stood at $253,040 in March.

• Sales in California have soared in recent months, with existing, single-family home sales increasing 63.8 percent in March to a seasonally adjusted rate of 522,980 on an annualized basis.

HOPE NOW applications available online
Troubled borrowers hoping to participate in the Obama administration’s mortgage modification and refinancing programs now can apply online for help from their mortgage servicer. Borrowers can submit details about their financial situation at www.HopeNow.com, the Web site operated by the coalition of mortgage servicers and nonprofit counselors.

The online application form supplements the existing HOPE NOW hotline, (888) 995-4673, and servicers are promising to respond to applications within five to seven business days to confirm the process has begun.

The Southern California Home Buyer’s Fair, open 10 a.m. to 5 p.m., Saturday, April 18, and 11 a.m. to 4 p.m., Sunday, April 19, features more than 50 educational “how-to” seminars designed to help home buyers navigate today’s real estate market with confidence and peace of mind.

The event is free to the public. In addition, the first 200 attendees each day will receive a free movie ticket (one ticket per person).

Seminar topics range from understanding home prices and monitoring and fixing credit to applying for a mortgage and the importance of the home inspection. Several of the sessions also will be offered in Spanish.

The Southern California Home Buyer’s Fair (www.homebuyersfair.com) also will feature nearly 60 exhibit booths, where attendees can obtain information from industry experts about homeownership and the home-buying process.