Fighting Foreclosure

Is Homepath Mortgage running out of funds?

2014-09-16T21:55:00.000-07:00

Are you in the market to purchase a home that need repairs? Well if the home you are looking to acquire is a Fannie-Mae owned home then look no more because Fannie-Mae HomePath mortgage is at the rescue. This loan been around for few years now but like the 203K most lender really don't push this loan.

What makes this loan different is that it does not require mortgage insurance even at the low down payment level it is offered at. Another difference is this loan does not need an appraisal or inspection. Well there are no problem with this type of lending because Fannie-Mae owns the home in the first place. In fact they own over 8000 of these home at any given time. This type of loan is in the best interest of Fannie-Mae to help move the inventory they have, and over the years they have acquired a lot.

These loans can be used to improve the home or update the home to you specification.How much money can you get? Well how about $15000 for a small renovation or $30,000 for a bigger job. Fannie-Mae will not lend directly to you but does create the guidelines for your lender to provide this kind of loan.

Fannie-Mae will not run out of money any time soon. However, congress continue to discuss ways to regulate them more or do away with them all together. Who knows what they may do. Where do you apply for this loan? There are 50 lenders nationwide approved to offer this unique financing called "HomePath Mortgage". Check with you local lender or check with HomePath directly for those lenders: https://www.homepath.com/incentives.html

Fighting against Foreclosure

2010-12-23T21:45:00.000-08:00

The year 2011-2012 could be the final years for banks to rectify their non-performing loans currently sitting on their books since 2006. How did many of these banks managed to survive such hard times and still reported profits for their current operation?

On the other hand Washington Mutual, a major player in 2006, did not survive, due in part to a large volume of non-performing loans originated . In the case of Washington Mutual (operations) they were one of the innovators of the "no money down loans". Therefore it could be said that Washington Mutual created a mortgage product and markets that worked for a while .

It is true some of these mortgages are the very loan products that continue to be at the center of contention for homeowners fighting against foreclosure and trying to modify. Of course Chase Financial inherited Washington Mutual's portfolio and is now left with the task of rectifying these mortgages. Can they do it, I hope so?

Modification for these mortgages do not make business sense for some lenders servicing them. Why you might ask? Well it has to do with the way these mortgages were created. For example the adjustable mortgages had interest rates starting as low as 2.5 percent which helped homeowners qualify for larger homes. No money down loans have been around for a long time but were only used for homeowners experiencing major increases in income over time, not homeowners on fixed income or low income.

The fact is a lot of moneys were made marketing and selling these type of mortgages. Therefore, during the hey day of such loans the focus was not on the bad out come we are learning from today . Foreclosure as followed these mortgages which was not clear then to those who originated them. The lenders had history on their side. History at that time always predicted home values rising. So if the banks had to foreclose, 20-30 percent drop in property values were not part of the equation.

What will banks do in the future? For example what will Wells Fargo when considering their loan matrix for predicting future foreclosure rates? How will it affect prices when it comes to pricing risk?

Let’s see what the next two years will bring with new government regulation in place? Also how will the mortgage lenders respond to the many modification yet to be done?

Foreclosure walk away today?

2010-05-28T11:48:00.000-07:00

Today there are so many ideas a homeowners facing foreclosure can get on the internet . The latest is to just walk way from your home.

One reason behind such an action lies in the decreasing value of the home verses the outstanding mortgage balance. For example if you purchased your home for $100000, with a $90000 loan outstanding. Now your home value has fallen to $60,000. This would create a $40000 lost in value.

Therefore, because of this devaluation some homeowners are ready and willing to walk away from their house. The rational behind this idea is based in the fact many lenders are not wiling to reduce mortgages to match the current values. Therefore, some homeowners are walking away. Also consider that home appraisals being done today are very Conservative than those done just a few years ago. Also home sales and comparables are just not there.

A few lenders are willing to reduce the loan amount with a chance to share in the future equity. However, those who want to walk away think it best to find another home with a better purchase price and with lower mortgage payment.

Foreclosure in court

2010-01-06T22:44:00.000-08:00

The American society is considered to be the most litigious society on the planet. Could this account for the upsurge in foreclosure fillings for the last
three years in a row? Loan modification seems to be such a great way to solve this foreclosure crisis, but the banks prefer to use the legal method of home foreclosure to resolve this legal problem. What can a home owner do to make sure that they have a fighting chance if they find themselves in foreclosure court?

A homeowner last month was served with a foreclosure notice and instead of planning to deal with it immediately he did nothing for twenty five days. The notice required him to file an answer to the complaint with-in thirty days.

After speaking to a friend who recommended he speak to an attorney which turns out that his wife belong to the Hyatt prepaid legal services, that covers most of the attorneys cost but not the fees to file with the courts. This legal service is part of an employee benefit package. However, there is also “Prepaid legal services” for those who don’t work with a company with such a benefit package.

The Hyatt prepaid legal attorney suggested a few options that could help deal with the stressful situation that confronted this family. However, so much of the problem comes from the homeowner waiting too long to respond. In fact the sooner you react the better the outcome can be.

The other problem with this homeowner is the loan modification he applied for with the mortgage company looks like it stalled out in the process. Also the homeowner made no mortgage payments for over seven months. Getting the foreclosure papers really surprised the family, especially when the appraiser came out to take pictures of their property.

Any way what the attorney suggested to them was this:

1. File a motion to dismiss instead of answering the complaint. Answering he said could be done later. Prove who owns the note first.
2. Discovery, this would include getting the bank to provide a lot of information regarding the original transaction.
3. Do nothing and watch the court system take your home in 9-12 months or faster.
4. File chapter 13 and get an automatic stay of the foreclosure.
5. Motion for extension to prepare a defense.

Basically these options are just ways to get more time to complete your loan
modification or if you intent on moving provide the time needed to save up to move. By the way if your credit is destroyed due to the foreclosure some land lord will not rent to you. However, if you can pay up front six to eight months worth of rent most landlords will take the chance credit or not.

Foreclosure is complex so you must prepare well your defense. Today some non-profit housing counselors are using mortgage account auditing to stock the chips in the homeowner favor. NACA is offering this service free to some of their clients.

Why modification takes so long?

2009-11-30T18:24:00.000-08:00

Why modification takes so long? Let me ask this question another way, why does the loan modification process take So Long? Regardless of how you ask this question the answer is the same,it takes time.

Now the Feds are trying to get some real answers themselves from the lenders doing the majority of these loan modifications. The feds are "fed up" and is looking for ways to let the lenders pay or reduce the processing time . Currently lenders have only provided excuses. However, now the Treasury department is not listening to such excuses. Instead they believe it is time to force the lenders into producing faster loan modifications. Can the feds get lenders to fire up their engines and save the day?

In fact the Treasury Department is encouraging homeowners to write them and tell them about their experiences in applying for a loan modification . Although the Feds created some incentives for the lenders to modify loans, lenders have yet to move fast enough to save the majority of homeowners in eminent foreclosure.

One blogger suggested in an article that you write the CEO of your mortgage company, explaining what you are experiencing with your modification and make sure you put some detail into your letter like names of persons you spoke to and dates. Then copy the Treasury Department, the OCC and the FDIC to the letter you send to your mortgage company, this will produce a record of your complain. Make a record of you daily calls and communication with your mortgage company, you might need it one day in court. Fighting foreclosure in court requires you take all measures necessary to win.

The sad reality is your servicer benefit from your delinquent mortgage account. Therefore,the longer a loan modification takes the more money your servicer will make. Take for example the late fees which can add up to a large percentage of their profits. Other fees or charges that can make a profit for your servicer are fees for insurances, appraisals,title searches and legal services. Based on this fact the feds will find it difficult to get most servicers as team players.

who owns my mortgage note?

2009-11-19T22:23:00.000-08:00

What is the goal behind asking your mortgage company to produce the note if they plan on taking your house from you? Doing your due diligence here will help you as a homeowner discover who really owns your note.

Fighting foreclosure in court will require this step for sure to help make sense of the foreclosure crisis. In fact knowing who owns your mortgage note might be one of the first steps in negotiating or renegotiating with your lender. In the foreclosure process lost notes affidavits is good news and bad news depends on which side you are on.

Part of the problem is investors who purchased residential mortgage notes left and right in the boom days did not have time to keep good records, therefore there is a lack paper trail. Here is the bad news or good new in some case many of these banks have lost the actual paper work. according to Huffington post: "Since North Carolina has begun to provide legal assistance to homeowners facing foreclosure, Miller said, roughly one of every three mortgages have some substantial legal discrepancy". They going to say:" The fouled-up paperwork or other lack of legal compliance "has resulted in a much higher rate of negotiated [mortgage] modifications" in North Carolina, said Miller. "It gave the homeowner additional defenses and counterclaims that strengthened their hands substantially."

The sad truth is each time the investors sold a bundle of these loans they should have some way to informed the homeowner. However, the reality is they don't see it necessary to offer this kind of information to a homeowner. To complicate things if you try to negotiate with your servicer they might never tell you who owns your mortgage.

In fact their is a new letter being send out lately with an obscure investors tied to wall street that some banks are offering as evidence that someone owned your mortgage note. The banks have had many months to counter this request and have come with a few additional tricks of their own. So you might want to use an attorney when requesting this from your lender.

Foreclosed homes for sale

2009-11-11T22:49:00.000-08:00

Foreclosed homes for sale form a few thousand to millions of dollars. Therefore America houses are on sale. A few years ago Europeans were using the power of their currency to purchase property in New York, Miami and California. What happen to these buyers are they waiting for the value to drop some more?

Yes those days are this a global economic melt down so everyone is affected. Some potential buyers are unable to participate because of lack of a job .

Just like stocks that dropped so low and give the market a reason to rally so will the home prices and real estate market. This the time to buy, your currency has the power at these prices.

From homes to hotel foreclosures

2009-11-10T07:29:00.000-08:00

From homes to hotel foreclosures which is now hitting the US economy. The hotel foreclosures are bringing with it a host of problems. Some may say there are too many hotels and it just the free market correcting itself. Such a statement might be true but the reality is serious.

CNN reported that one in four hotels is currently in foreclosure. Each of those hotels have hundreds of workers who themselves have houses and depend on their hotel jobs to pay their mortgages. Therefore with their jobs gone or on the line they could find their houses in foreclosure as well.

Similar to home foreclosures the areas of the country that are seeing the most hotel foreclosures is located in the California and Miami. However, foreclosures in California are nothing new .

However, this problem certainly not just in California but across the globe hotels are experiencing a low occupancy rate. CNN suggested in one of their report that next time you book your hotel reservation and get a very unusually low price that could be a sign that the hotel is in trouble.

This is not surprising to most expert they predicted that the next trouble spot was going to be in the commercial sector and hotels fit that description. Currently there are no announcement of any government programs to help stop the hotel foreclosures, but I am sure the government is watching the situation, because it has plenty of implication for the economy .

Word for the day: Car, Car rental, Motors, service

Foreclosure or bankruptcy which is better?

2009-11-09T14:14:00.000-08:00

Foreclosure or bankruptcy which is better for your credit? At first glance most would think the answer is bankruptcy. Here is a point to consider although bankruptcy will remain on your credit report for 10 years foreclosure will create a even bigger problem for you if you are thinking of purchasing a new home within the next three to five years. Try to rent with foreclosure on your credit report and you will get some strange questions from the prospective landlord.

Both situations can prevent you from getting your credit score higher.
However, if you filed a Chapter 13, FHA will allow a buyer to purchase a new house and obtain a new mortgage after 12 timely payments the bankruptcy plan. On the other hand foreclosure just sits there for the next three to five years.

In the boom years it has been reported that sub-prime lenders allowed buyers with discharged bankruptcy just one to secure a new home loan, of course those days are gone. Borrowers could then discharged one day and apply for a mortgage the next. This is one of the reasons why some of these loans went bad, the guidelines were not well thought out.

Foreclosure on your credit report is not the end of your homeownership, why start planning to take control of your finance and try again. However, if you are facing foreclosure right now why not try to prevent foreclosure instead of having to deal with it for the next three to five years. Negotiate the possibility and find a forum to workout the details. Calculate the cost of going bankruptcy or sustaining a foreclosure on your credit record.

Word for the day :mortgage calculator

First time home buyer tax credit

2009-11-06T14:34:00.000-08:00

Show me the money! The first time home buyer tax credit of $8000 has been approved and signed by president Obama. Currently the cost for the first $8000 tax credit has been estimated to have cost about 10 billion dollars. This new extension of tax credit is considered to be about the same. The expert believes this will generate another 400,000 or so home sales.

Therefore,first time buyer have until the end of June 1,2010 to close but must at least signed a sales contract by May 1, 2010. The current tax credit dead line was November 30,2009.

Therefore, if you did not owned a house with in the last three years based on the guidelines you are considered a first time home buyer. Also if you are currently a homeowner, the tax credit if you purchased another home is up to $6500.

These tax credits should generate new homeowners, along with the climate of low mortgage rates. This is the best time to purchase a new house with so many incentives being offered.

However, remember in the boom years the mortgage rates was not so good and there was no tax incentives but people were buying because they thought a house was great investment that could produce lots of profits or equity. Homeowners were purchasing home for $200,000 which would climb to $50,000-$100,000 in equity in less than two years. Homeowners that bought at the high wish now they did not.

My point is before you purchase this time around ask for your trusted friends second opinion, truly look at your future job prospect. Make sure you have the three to six months reserves needed in your rainy day account,stay with in the 31% of your gross income and be realistic. Purchase with in or below your means, don't get three bed rooms when you only need one or two.

This news about the extension of the tax credit is great so many first time home buyers were in current deals that was never going to close on time, I am sure they can now relax.

Foreclosure help

2009-11-06T09:47:00.001-08:00

Written by: George Haughton

Foreclosure help will come from unlikely source, Fannie Mae. In fact Fannie Mae now joins Freddie Mac in offering a deed for lease program. Therefore, those facing foreclosure have the option to rent their homes back for a period of time until they get their finances in order. This deed for lease allows the homeowner who failed to qualify for or cannot maintain a loan modification to transfer their deed or their interest in the home to Fannie Mae.

This process is really a deed in lieu of foreclosure,it does not show up on your credit report has a foreclosure. Foreclosure on your credit record prevents you from purchasing another house for at least three years with FHA and five years for conventional loans. Therefore, this program allows a homeowner to pay rent equal to the documented 31% of their monthly income pretax or gross income.

That is welcomed news for the close to one million homeowners who were served foreclosure notices last month. The estimate is that over 18.8 million houses stand empty in the third quarter, which has created a value and vandalism problem.

Therefore, we can say finally the lenders are really looking at the bigger picture. For example in Detroit that city has started to knock down empty blocks of houses and do not have any plans to replace these houses any time soon. Therefore, it makes total business sense to keep the homeowners in these homes and work it out.

This deed for lease does come with out some qualifying guidelines so you might want to look these up before you assume you qualify. For example it must be your primary home you live in. Fannie Mae or Freddie Mac don’t actually make loans to consumers so this foreclosure help is a quick measure to legally keeping homeowners in place, but again what are the guidelines and how long is this period.

Based on what I have read the guaranteed lease period is for one year and month to month after that. This action will ease the minds of many homeowners fighting foreclosure and help keep the neighborhood more stabilize. The truth a lot of these homes have become very hazardous and dangerous. In the state of California some communities speak about pools that are a breading ground for mosquitoes.

Freddie Mac unlike Fannie Mae rental lease is for a month to month.Therefore, what Fannie Mae has done is taken the big uncertainty out of the minds of the homeowners for at least a year. Some are now asking the question is a postponement of the inevitable?

Well the economy is said to be improving. However, some experts who follow the housing issue think the second wave of foreclosures is still in front of us. Therefore, creating an option like “deed for lease” might be an attempt to cushion the blow. This foreclosure help by deed for lease really is the answer for those facing foreclosures now and yet to come?

Fannie Mae Q and A for the deed for lease program
Fannie Mae Guidelines for the deed for lease program

Google blog search

2009-11-05T10:01:00.000-08:00

Google search has played a vital role in helping me find answers with my writing about this issue of fighting foreclosure. In fact this blog you are reading called the blogger has created a place for me to do research and record the information . I hope what I wrote over the months have been of some help to you and your families fighting foreclosure . The blog is free and full of great options to present my findings.

I originally intending to say the internet but it is Google that really made it more user friendly and useful.

For example I did a search with Google which brought me to a site call Loanworkout.org. On this a site are helpful information regarding home foreclosures. What particular struck me on this website were the personal stories from homeowners who wrote about their experiences with their lender. Most of these are the sad experiences or the unsuccessful loan modification. By reading these you can get a feel for what is not working and what spells a dead end.

Twenty years ago there was no Google that you could use to tap into a community of such persons and learn from their experiences. This is what the internet has provided and Google is a big part of this innovation.

The search provides both videos and audio clips from various experts involved in this issue. If you are facing foreclosure you will need a lot of support and solutions that works. Using Google for your research and education is a start in finding any answer.

Foreclosures

2009-11-04T21:45:00.000-08:00

I just listened to a group of attorneys who are with various attorneys firms around the country. They were discussing the reality of a second wave of foreclosures that could hit with in the next few months.

There is a possibility that lenders are holding back from foreclosing on some homeowners right now by the request of the government. This is where this second wave could come from . In other words there might be a self imposed freeze on some foreclosures by a few lenders, but these lenders are the ones that matters.

Any way the attorneys were explaining what they currently offers and what they can do for homeowners who are facing or might be facing foreclosure in a few months. One attorney amongst the group had a radio program that discussed the subject of foreclosure. Therefore, Attorneys are from around the country so they have a national exposure.

The panel of attorneys are under the umbrella of Prepaid Legal services. I truly believe that attorneys are better at fighting foreclosure in court and out of court. On this call they spoke of loan modification, short sale and the judicial and non-judicial states.

Please take a listen for yourself as these attorneys explain what they can do.

Attorney explains their foreclosure services. Audio only.

Nation wide legal protection

Foreclosure listings

2009-11-03T21:30:00.000-08:00

The more foreclosure listing we find on the internet should give us a clue regarding foreclosure inventory. Therefore, foreclosure inventories have to come down in order for home prices to stabilize now and in the future.

Too much housing supply is still a problem for those selling and currently listing. Also it reflects in the low appraisal values seen in the attempted refinances. There are all kinds of listings to work with. For example there are lenders with their "REO" website listing. Then you have the third parties that sell their foreclosure listing. Therefore with so much listing available the cost of getting the listing information is getting cheaper or free.

Fannie Mae with their Homepath.com is a free foreclosure listing of all their homes . The website offers information on the house you need to make an offer. Plus if you qualify there is low down payment to purchase one of their foreclosure homes. Less than perfect credit is OK, and no mortgage appraisal fee is needed or mortgage insurance.

There are other similar website but not has complete as the Fannie Mae. Others you have to call the agent to get the complete details on the listing.

How does foreclosure works?

2009-11-03T09:30:00.000-08:00

How does foreclosure works is the question many homeowners are asking these days. In fact this one issue has been described as the single match that lit an economic fire storm. Each state has similar approach to foreclosure but some small differences in the execution of the foreclosure laws. For example some states are judicial while other is non-judicial. In this article we are looking at the process and not necessary the actual law.

If your home is in foreclosure what can you do right now to understand the process?
* Talk with foreclosure prevention specialist:
A. Lender
B. Foreclosure attorneys
C. Housing counselors

Now let's look at the process. Firstly, foreclosure is a process by which your lender has concluded that foreclosure is the only way to solve the problem they have with the missing mortgage payments. Of course if you don't step forward and show them that you are willing to deal with the missing payments through a loan modification they will assume that you have moved and abandoned the house or don't care.

Therefore, in the first stage of the foreclosure the lender try to work with you and to see what can be done to save the home. Recently Obama administration has included lots of incentives for the lenders to help home owners with foreclosure prevention. From this came the Making Home Affordable program.

Chase/Washington Mutual,Wells Fargo,or Bank of America any one of these companies that participate in the Making home affordable program can help you prevent foreclosure. However, if for some reason you are not found eligible for this program they could move your house to the pre-foreclosure stage.

Most homeowners that fit this category do so because of lack of or low income. The high unemployed rates are driving up the foreclosure rates and producing more homeless families than ever before. During pre-foreclosure the lender may follow up by offering a loan modification or forbearance .

If this period does not produce a solution then the lender goes to the default notice stage. Usually the servicer with help of the court sends out a court document that summons you to court. Therefore, through out this process it is a good rule of thumb to have an attorney advice you . There all kinds of attorneys that specialize in prevention of foreclosure. Some will recommend chapter 13 bankruptcy others who specializes in foreclosure will deal with the loan modification for you or answer the court regarding your case.

Once you get to court all is not lost you could strike a deal fighting foreclosure in court. The lender could save your house at this late stage if you can provide a plan. However, if the courts do award the house to the lender this could be the end of the line or may be not. How does foreclosure works may differ in your state . Starting early and not giving up too early could make the difference between keeping your house or losing it.

A judicial state like Illinois requires a court process, while the state of California uses a deed of trust foreclosure. Please check with your attorney for your state laws, such as the redemption period.

At this stage of the foreclosure process the court sets up a sale date(judicial state). To avoid foreclosure start early talking with your lender they might be able to stop your foreclosure. I hope this give you a view into the process how does foreclosure work. Now its' time for you to do your research.

Modification approval need 4506

2009-11-02T18:51:00.000-08:00

Loan modifications now requires a IRS 4506-T. In fact if you applying for a home loan the 4506-T is required in your loan package. A few years ago only self-employed borrowers were required to complete this form. However, with lenders getting tighter with their underwriting lenders are requiring this form to be completed with any type of loan. Also you will see this form again at closing if you are doing a purchase or refinance.

Therefore, if your loan was with Washington Mutual originally, this could get a little tricky working on a loan modification you need to complete a 4506-T. watch out for line numbers 5,6 and 7 on the 4506-T. If this form 4506-t is not filled in correctly there could be some delays with your loan modification( tax form 1040) . Obviously the other lines 1-4 must be filled out as well , but 5,6 and 7 is the ones most home owners miss.

The problem with Chase and Washington Mutual is that both have the same return address for the IRS to send a copy of your tax transcript to as the third party. However,there is a little difference with the way it is addressed: On line 9 pay very careful attention to the amount of years you requested to be send to the lender, because thats all they will send back. Currently the lenders are asking for 12/31/2007-12/31/208. Do not leave this blank because lenders can request more years than is required . Make sure of the lenders return address.

Chase: By mail
Chase Fulfillment Center
P.O Box 469030
Glendale,CO 80246

Washington Mutual : By mail
Chase/WaMu fulfillment center
P.O Box 469030
Glendale, CO 80246

Here is my point it only takes one question or form like this to stop your loan modification from getting approved. If your house is up for a loan modification get help if your are stuck.

How to re-score your credit quickly

2009-10-30T08:56:00.000-07:00

How to re-score your credit quickly? This is a little unknown secret that is used in the mortgage business to help home buyers increase their credit scores in less than a week. Imagine going from 400 to 650 with in days? If this sound too good to be true, just read on. If you are willing to follow the guidelines set out by the three repositories, such as Equifax,TransUnion,or Experian you can accomplish this easily.

The program allows your mortgage company to present proof of errors in your credit report to be corrected which can take place with in 1-5 days. There is a fee for the process but it is well worth the effort and money. This could mean the difference between a mortgage rate of five percent oppose to a eight percent. Also doing this up front could prevent any future of fighting foreclosure in court.

Again this process is called Rapid Dispute Method,Re-scoring,Rapid Re-scoring or Rapid credit solution. Ask your broker about it if your are looking to better your credit scores. Please these must be real errors you are working with and not make believe.

What are some of the proofs or documents you will need to get this done?
1. Copies of any bankruptcy papers,lien releases,paid receipts
2. Letters from a company stating that a specific trade line will be changed or how it will be changed. Must be on the company's letter head and be verifiable. This must clear to the company has what must be changed.

Just a note here at times your bankruptcy was discharged but your credit report is still showing multiple times this one item as being outstanding or a balance. Consider getting all the facts before you attempt the correction, such as:
1. Account number
2. Dates the information was changed by your creditor.

The more information you have the better it will be to get the Bureaus to agree with your changes.

Prepaid legal services can help correct credit relating to identity theft or credit errors from inaccurate information. By the way Identity theft is one of fasting growing problem consumers face today that can create a drop in your credit scores quickly. This company arrange for any entry to your credit report become a notification to you immediately.

should i stop paying your mortgage?

2009-10-29T17:12:00.000-07:00

Should I stop paying your mortgage shouted Mr.love's wife? What do you mean Mr. Love asked his wife? Well the attorney in New York said I should . Which attorney? We don't live in New York. Such advice must be taken with care, because your circumstances could differ. Any way take a look at this video and let me know what you think of it and the advice given. Fighting foreclosure in court you might have to think out side the box before it's too late.

Check out Prepaid legal Insurance for less than a cup of coffee a day. This legal service is a nation wide attorney referral services that handle foreclosure prevention.

Fighting foreclosure in court

2009-10-23T07:47:00.000-07:00

Fighting foreclosure in court is a must if you are to stay in your house. Giving up too soon can create a big loss for your family. However, there are some situations that call for you to give up fighting foreclosure because it just doesn’t make economic sense to stay in the home. For example many homes today have lost their values which will take a long time to return to your original purchase price.

Therefore, if you plan on fighting in court you need to find an excellent attorney that will help you in fighting foreclosure in court. At this point in time you have exhausted all the loan modification options, your home refinancing was turn down. Therefore, you looked into selling your house that did not work as well. No question you have tried doing a short sale but the buyer fell through. Now here comes your lender trying to solve the problem by using the court. What can you do?

The short answer is you need to buy time to move or to defend yourself in court. Therefore define your goal and strategy in making this transition. All of this can be very emotional but the quicker you get control of your emotions the better it will be for you.

Home owners have used the strategy or defense by proving that the lender over charged or used some predatory lending practice with your loan. In other words you were taken advantage of. This might buy some time but it takes time and energy to personally put this defense together. Take a look at your truth and lending statement. If you can not audit it yourself get a professional do a report for you. With this report in hand make it a part of your defense in court.

Primarily not only are you looking for time to move but to put together a negotiated effort to obtain an affordable loan from your lender. If you did find some thing wrong with your loan then the possibility that your lender might face is refunding every single payment you have made.

Fighting foreclosure in court is going to take some skill and risk, get prepared. Plan for two out come in mind, what ever out come you be prepared. Get legal representation!!

How to create a low mortgage rates

2009-10-20T17:10:00.000-07:00

How to create a low mortgage rate? The obvious answer is to shop around with various lenders for the lowest mortgages rates. Therefore shopping around is a great strategy if you are in the market for any product. However, there are specific details you need before you start looking for low mortgage rates.

First you need to answer some simply questions for yourself. Do I really need a mortgage, can I afford it or would it be better for me to rent? What is my time horizon for staying into this new home if I did decide to purchase a house? Can I handle a foreclosure property that could give me a better bang for the buck but might need some repairs to move in? Should I look at a two flat or just a single family home? Investor’s property requires more down payments.

Here is my point mortgage rate is just one factor in purchasing a house. Once you have decided on all the other factors such as location, size of house and property pricing then lets now look for a lender who will give you the best price.

Let’s also assume you did put aside the 6-12 months for getting your credit score to at least 720 score and has the savings to put down ten percent. Twenty percent down payment would certainly get rid of your PMI. FHA of course will have a MIP regardless of the amount of your down payment was.

What about your job do you think your job is secure enough to at least help you pay your mortgage for the next three years? If you don’t feel confident with this you might want to wait.

So you have ten percent for down payment and looking to do a conventional loan. This is a great time to be considering at least 4.00 – 5.000 percent mortgage rates with added adjustment for loan size. Even though the rate is great at 5 percent with the (PMI) private mortgage insurance will increase your monthly payment.

Conclusion rate is good right now but with more down it could be better by reducing your monthly payment. Also think before you sign your loan application or mortgage note.

Home mortgage foreclosures

2009-10-16T11:17:00.000-07:00

The numbers regarding home mortgage foreclosures is not pretty . In fact we can say mortgage foreclosures may be at one of their highest point with in the last two years. Therefore the news regarding home mortgage foreclosures needs to improve. Well I must admit there are some positive news regarding the Home Affordable Program from last month. In September over 500,000 loan modifications were completed. However, following behind that news were more bad news, regarding the unemployment.

The Dow went to 10,000 before it bounce back,this may be a good sign to come or may be not. Many believe the Dow 10000 is not for real until the job market get better. Also the financial market is still sick and needs time to recover. Case in point Bank of America lost a Billion dollars last quarter.

Economist see the home mortgage foreclosures continue into the second quarter of 2010. The concern now is not the DOW 10,000 but the 10 percent unemployment rate that was predicted. Here are ten ways to deal with housing crisis.

1. Lower your debts and loans
2. Look for ways to save money
3. Reduce your spending
4. Create a family budget
5. Refinance
6. Read a little positive news each day
7. Build a network of friends
8. Get a loan modification
9. Take a class
10. Help your neighbor

Yes times are challenging but what are you going to do about it if you are fighting foreclosure? Fighting for your house ,trying to get lower mortgage rates,increasing your credit scores, all of these factors are part of the challenging financial landscape.

Fighting foreclosure in court

2009-10-14T14:41:00.000-07:00

Fighting foreclosure in court is a must if you are to keep your house. However, where do you start in order to get some legal defense? The current stories coming out of the court system is that attorneys whose job it is to defend homeowners in these cases are overwhelmed with thousand of foreclosure cases to deal with. In Fact the Legal aid free attorneys, are not available themselves through the courts. Therefore, there are a shortage of attorneys to serve those fighting foreclosure in court.

The question then is what can a homeowner do if they find themselves in this position? I have recommend this before and will continue to do so. Reason being I think it is one excellent alternative you can turn to if you are in need of legal help. Prepaid Legal attorneys will not only provide you with needed information but defend you in court.

Take a look for yourself at the track record of the Prepaid legal services and what they currently offer to those they served for the past 35 years. Also research their collective attorney staff . Here is their stock which is a publicly traded company.

How to get mortgage approval despite credit

2009-10-14T14:34:00.000-07:00

How to get mortgage approval despite credit

Credit and mortgages go together like beans in a soup. Therefore, lacking sufficient credit can get your mortgage approval postpone.
However, is it possible to obtain a mortgage approval despite your lack of credit or even bad credit?

Good question because any one of these conditions could prevent most mortgage approval. When we say lack of credit we are referring to a buyer who has no to very little established credit.

Just to help identify what is considered good or bad, let’s use the credit scoring system. A score of 620-719 would be average while 720-800 would be excellent. Therefore, any credit scores below 619-500 would be challenging for most mortgage approval.

Get copies of all three of your credit depositories at least 12 months prior to application. * Have your credit analyzed for accuracy. * Apply for credit with an easy vendor. * Make at least 12 months excellent payment. * Plan to use your current 12 months rent, utility, cell phone account to establish credit reference.

Obtain a copy of your credit report from all three credit depositories. Then get them analyzed for accuracy. Look for ways to improve your credit and plan on dong it within the next 12 months. There are companies that will provide additional help regarding what item will increase your score or having the most negative affect on your scores.

Apply for credit with vendors who have an easy approval standard. For example applying to some neighborhood furniture store could help you establish credit. If you don't have any credit try department stores that will give you a small dollar amount ($250-$500) line of credit.

Using your current rent, utility or even your cell phone account for the last 12 months can be used to establish a good credit reference. The mortgage companies use third party credit companies that will take that information and create a credit profile that the lender can use to predict your future ability to pay. In some buyers underwriters are known to use your bank account history as an indicator as well.

If your current scores are below the 600 make then you too should follow the same plan to analyze your credit and find ways to improve it. Most credit scores will respond to systematic payment on timely basis while paying down the balance to less than high of the line of credit. The lower you pay it down is the higher your scores will go. The converse is also true, higher balances create lower credit scores.

Fighting foreclosure in court

2009-10-11T19:24:00.000-07:00

Are you fighting foreclosure in court? Then you are in the fight you must win. So to tip things in your favor you need a legal team. In fact you need them early in the process. If you find yourself in court then you have failed to make several mortgage payments and your account has been moved from the collection department to the pre-foreclosure and finally you there in court to beg for time or mercy from the court.

Most of the court system in the country are very quick to rule against you. Therefore, you better be ready for the worse but plan with some contingency in mind if you are unable to get any help in the court.

There are some attorneys who are using the "show me the note strategy", the news is this strategy is happening a lot, with some success. However,some court is seeing this strategy as time consuming to the court system.

Others are using forensic auditing in their negotiation. Whatever you do you have to come up with a plan of action quick. Sale of the house can buy some time. While short sale could attract some buyers. Fighting foreclosure in court requires a game plan.

NACA home solution works or gives false hope?

2009-10-09T15:34:00.000-07:00

The question is does "NACA" home save solution works or does it just sell false hope? The acronym NACA stand for Neighborhood Assistance Corporation Of America. I wanted to know if this organization actually works or is it just a lot of positive chat?

The first time I heard of NACA I was watching the news one evening . The reporter described NACA engaging in a different kind of protest. NACA took their protest to the homes of the CEO's of the major banks who they believed were behind the current housing crisis .

Bruce Marks himself a CEO of NACA, which is a non profit organization, explained that he made it his duty to take the protest to the doors of such men who were at the root cause of so many people losing their homes. At the heart of the matter he said was predatory and discriminatory lending being practiced by the lenders. Any way that was the reason he was willing to fight for the little guy.

However, does the NACA home save solution really works? Here are the ideas the program is based on:
* Achieving and affordable mortgage payment
* Ensuring the new mortgage payment is for the life of the loan
* Documenting your necessary expenses
* Providing individualized budget counseling
* Advocating on your behalf.

So based on this NACA is an advocate for affordable housing. I have spoken to a few homeowners who have attended NACA weekend workshops and got back mix reviews from them. It Is not that NACA over promised and under delivered, but a lot of these homeowners continued to have hope in the system. The same system that has failed them, in fact some say this system is partly responsibly for the position they found themselves in today, foreclosure.

Most loan modifications are structured by the servicer and approved by the actual lender, based on a specific matrix . Remember most of the time these are the same lenders that financed the loan in the first place. Think about it this way, there is a car dealership in your town that sold a car to a couple, these buyers brought the car back year and half later, complaining that it was defective when they purchased it.

The dealership response was to replaced two of the tires on the car because that all they think they should do . Unless it is the tires defective the dealership really has not done anything for the buyer. To get to the bottom of the problem the dealership needs to know why the car was defective. I can see some of you out there saying well it is not the dealers problem, once they bought the car, it's their puppy.

Well that is how the lenders feel too, once you signed on the dotted line it's your mortgage to pay, regardless of the defectiveness in the loan. Some loans were dead on arrival with mortgage rates too high or too low to handle the future interest and principle payments.

Therefore, if the dealership knew they had a defective car they should at least disclosed this to the buyers and leave it up to them to decide. I don't think the buyers would have purchased a defective car or house for that matter .

NACA have good intentions but the whole financial system is broke , and is in need of a complete restructure from bankers to buyers education.

Words of the day: House, home . Question what do you think of, when you think of these two words (house,home). For some it is money, cash that is what first image that comes to mind. However, for others its family,mother,Dad,bother. So the question then is what are you fighting for?