You’ve just gotten off the phone with a loss mitigation representative from your lender and you are more confused, frustrated, and lost than you were before the conversation started. The representative has just rattled off a bunch of financial jargon, notice of default, deed-in-lieu, bail out loan, and forbearance, all of which means nothing to you because you do not know what any of them mean or do.
This scenario is typical for most borrowers trying to negotiate a loan modification without the necessary knowledge. Your Basic Guide to Do it Yourself Loan Modification is the perfect partner to have when negotiating a loan modification. The glossary provided in the back of the manual describes each term using lemans language so that anyone can understand. In addition, the manual describes each option the bank is likely to offer (deed-in-lieu, short sale) and not likely to offer (loan modification in the form of reducing principal balance or interest rate reduction).
You need to be informed before you enter into the negotiation process with your bank. Your Basic Guide to Do it Yourself Loan Modification helps you to prepare a well organized loan modification package so that you are well informed and prepared when entering into negotiations with your bank. What borrowers fail to remember is that many banks are in the position to provide loan modifications as a result of the Economic and Housing Recovery Act of 2008. This Act allocates $700 billion to provide relief to borrowers who are struggling to keep their home. You have options, so explore them before you accept the first offer the bank makes, which may not be in your best interest.
Mortgage
Freddie Mac on Friday plans to announce a first-of-a-kind plan that lets homeowners and tenants temporarily stay in homes in foreclosure by renting them back, an effort to stop many of the sudden evictions that have come along with the housing crisis.
The program will let thousands of qualified former homeowners, as well as families renting from landlords, enter into a monthly lease on their homes after they have been acquired by Freddie Mac through foreclosure.
Freddie Mac officials expect the program to help about 8,600 families in 2009.
The program gives homeowners and renters more time to find a new place to live and also keeps homes occupied. That’s a plus for neighborhoods where numerous foreclosures have led to empty, unmaintained, vandalized properties.
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Loan Modification, Mortgage, Uncategorized
foreclosure, freddie mac, renters
I think the stories of Loan Modification companies getting sued will become very common in the coming months. As it stands everybody that was from the sub prime mortgage industry are trying to make money from Loan Modifications. The same people that caused this in the first place. I think the DRE is very much to blame here but till people get smart , you can go ahead and blame the lenders.
On Thursday, Minnesota Attorney General Lori Swanson filed lawsuits against two Florida companies that she said have ripped off troubled Minnesota homeowners.
Swanson alleged that IMC Financial Services and American Financial Corp., which is doing business as National Foreclosure Counseling Services (NFC), violated Minnesota law by charging upfront fees of as much as $1,850 to renegotiate mortgage terms and not doing so.
American Financial Corp. also has been sued by the attorneys general of Illinois and Colorado. In August, Swanson sued another mortgage foreclosure consulting firm based in Florida, as well as one based in New Jersey.
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Loan Modification
illegal, Law, Sue
With the Dec. 31, 2008 completion of the Wells Fargo / Wachovia merger, Wells Fargo has begun to aggressively use current streamlined approaches and new customized solutions to avoid preventable foreclosures for Wachovia mortgage customers. In total, 478,000 Wachovia customers – including those with Wachovia Pick-a-Payment loans – will have access to the program, primarily those whose loans are delinquent or are likely to become delinquent will be eligible for assistance. Given changing economic factors, the exact number of customers expected to be helped in this approximate $120 billion portfolio cannot be provided. Customers with loans being referred to foreclosure or that are in foreclosure will receive an extension until Feb. 28, 2009 to allow them time to contact and work with Wells Fargo on the new solution most appropriate for their circumstances.
“As the ‘investor’ for these loans, we are rapidly designing programs to help these customers,” said Mike Heid, co-president of Wells Fargo Home Mortgage. “For those at-risk, we will offer combinations of term extensions of up to 40 years, interest rate reductions, charge no interest on a portion of the principal for some period of time and, in geographies with substantial property value declines, we will even use permanent principal reductions.”
Heid said the goal of any loan modification is to achieve sustainable and affordable mortgage payments generally targeting a 38 percent mortgage payment-to-income ratio. The company will continue to work case-by-case with all at-risk customers to understand their financial situations to determine if lower levels may be appropriate.
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Loan Modification
Modification, wells fargo, world savings
If you didn’t think that the deserved to be bankrupt AIG’s abuse of taxpayer money was enough, now Citi joins them in the land of could they be any dumber.
The New York Post is reporting that Citi has in fact followed in the footsteps of AIG and well, spent taxpayer money on a unnecessary luxury.
Even though the bank’s stock is as cheap as a gallon of gas and it’s burning through a $45 billion taxpayer-funded rescue, the airhead execs pushed through the purchase of a new Dassault Falcon 7X, according to a source familiar with the deal.
The French-made luxury jet seats up to 12 in a plush interior with leather seats, sofas and a customizable entertainment center, according to Dassault’s sales literature. It can cruise 5,950 miles before refueling and has a top speed of 559 mph.
There are just nine of these top-of-the-line models in the United States, with Dassault’s European factory churning out three to four 7Xs a month.
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Uncategorized
abuse, AIG, Citi, taxpayer
Each bank is different, so it is important to get educated on your financial institutions policies before you purchase a Loan Modification Kit, and put in the leg work of putting your Loan Modification together. Each bank will have qualifications that need to be met before they offer a loan modification. If you feel that you are a candidate for a loan modification, the next step is to get your ducks in a row, first by purchasing a loan modification kit. Tailor your application so that it fits within your own banks requirements. Selfloanmods’ Loan Modification Kit has helped many borrowers get loan modifications.
To read the article on activerain.com click here
Loan Modification
“If someone is not pre-approved and they don’t have the money to cover what they loan modification will be in the future, the lender will say, ‘No,’” she said. “We off the bat will say no, I’m not going to take your money for a service that we can’t provide for you.”
Get references and read the contract thoroughly, she said.
“There is so much that can be put into fine print,” Itzkowitz said.
Make sure the loan modification firm has an attorney in good standing with the Florida Bar Association.
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Loan Modification
