On April 5, the government will put into action a plan designed to offer homeowners facing underwater mortgages incentive to sell their home below the market value. Banks and other lenders will be encouraged to accept the short-sales as Obama attempts to keep the economy's momentum on track in the coming months.

Underwater mortgages, in addition to unemployment and other economic factors, have had a huge impact on bankruptcy filings across the country. In states like California, where foreclosure rates and bankruptcy filings continue to skyrocket, the government has already promised millions in additional aid to struggling homeowners.

These new funds are aimed at those who have not already been helped by the $75 billion mortgage modification plan and will be available to mortgage owners across the country.

This is separate from the additional aid slated for California. That money, thus far, is only available to states with the highest rates of foreclosure - Arizona, Florida, Michigan, Nevada and California.

Under this new initiative, banks and lenders will be offered up to $2,000 as incentive to allow the homeowner to participate in the short-sale and the homeowners, themselves, will be eligible for $1,500 in "relocation assistance."

The question remains, though - will lenders go for the deal? Many real estate agents, and others familiar with the process, worry that banks won't be willing to approve short-sales at a significant loss, even if it means foreclosure.

Under the program starting April 5, lenders would have a real estate agent determine the value of a home and, in addition, work with them to set a minimum sales price. After this is done, the lender would have to accept any offer that meets or exceeds the set minimum.

If successful, the plan could help many homeowners struggling with bankruptcy and other financial considerations - from New York to California.

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