Drive around and see how many signs you see that says House for Sale. How many lease purchases do you see? How many abandon houses are on your street? Our country is up against the wall with delinquence mortgages. FHA mortgage lenders are filing claims in the millions from HUD. How do I know? I counsel homeowners every month concerning their mortgage and what they need to do to protect their property and communicate with their mortgage lender.
What is the cause of all these delinquence? There could be several reasons: Lost of a job, health issues, divorce, business failure & income reducing. Before the homeowner even tries to save his/her home, they move out or better yet file bankruptcy. If they only knew what options were available to them, they stood a better chance of saving their homes.
Some homeowners try to make an attempt to talk to their mortgage lender for a possible workout but here is the problem. They are taking to the wrong people and they do not have a plan. I know some mortgage lenders can make it very difficult to be reach and consider you for a workout. Some will tell you that all communication will be handle by their attorney. The only thing their attorney wants to know is whether or not you can reinstate the mortgage and if not, it goes to foreclosure.
Some homeowners even got to the right department to discuss a workout only to find out the lender denied their case. I am here to tell you that your home can be save from foreclosure.
There are some facts you need to know before you abandon your home or file bankruptcy.
Fact number one: Stay away from so-called investors. Why are you going to give your equity away when you can save your home yourself? Yes you can do it. Do not quit - claim your home, sale or sign any papers until you talk to your attorney.
Fact number two: If your home is FHA or VA insured, your mortgage lender must consider a workout before they can file a claim. If FHA or VA discovers you were not given the opportunity for a workout, then FHA or VA may deny the mortgage lender claim, they don't want that.
Fact number three: To be considered for a workout, you must have some money. At a minimum you must have the attorney & foreclosure fees payable to the mortgage company before the sale date. Reason: Your mortgage lender cannot put the attorney & foreclosure fees back into the loan. Their insurer will not permit it.
Note: If you don't have any money to pay attorney & foreclosure fees, get the money, have a yard sale, borrow from your 401K, life insurance cash values, mutual funds or stock holding; church and family, try getting an advance from your employer, refinance if you have enough equity.
Start getting busy!
Fact number four: The rules change if your loan is a conventional, because these loans are not FHA or VA insured and they normally do not have a loss mitigation department, you will need haft of the amount of your reinstatement to be considered for a workout.
These are investors type loans and it will take me more time to explain what it all means than I have room for in this article.
Early I mention you are probably talking to the wrong person when you contact your mortgage lender, you need to request the name & number of the representative in the loss mitigation or foreclosure department who is assign to your case. Do not talk to the collection department or you will surely lose your home.
When making the call, be aggressive until you get the right person, if you sound like a whimp and don't know what you are taking about, they will only react slow and put your case at the bottom of the pile. Note: Be tactful.
Request a loan workout package, complete and return the forms as instructed.
Secret: When completing the financial statement after all expenses are subtracted from the net, you must show at lease haft of your mortgage payment as a residual to qualify for a workout.
Secret: When giving your hardship statement, do not tell your mortgage lender that you mismanage your money, that is a sure case you will be deny.
Do not contact your lender's attorney, they work for your lender not you, they can't help you.
Tip: Give your lender all require documents. If any information is missing, it will only delay your case and their response is, why bother, if you don't care, why should I.
You have been given some value information here that will help your save your home from foreclosure. Before you move or file bankruptcy, use these strategies first and you will be surprised that you can save your home. Until your workout is approved, start saving your money.
About The Author
Bobby Johnson is a comprehensive financial planner who speaks on the topic"How to Eliminate Debt and Build Wealth" and the author of "How to Save Your Home From Foreclosure and Not Lose Your Mind" http://foreclosurmanual.ieasysite.com/. For information on hiring Bobby to speak for your company, corporation, church or event, call 770-210-8797 or e-mailing bjohn54928@aol.com
Here are our Top 10 most important things to consider... Read More
Finding home mortgage loans are a reality for people with... Read More
If you are transferring to the Kings Bay Georgia Naval... Read More
Here is a useful flexible mortgage guide. Flexible mortgages are... Read More
Buying a home with bad credit is possible with the... Read More
Mortgages have assumed a number of characters from the time... Read More
A Self-Certification mortgage is a mortgage designed for people who... Read More
Closing on a property is a very challenging time for... Read More
The purchase of a new home is one of the... Read More
Bridging finance is a short-term loan that is used as... Read More
You bought a house and you were promoted to the... Read More
Here is a useful guide to remortgages. What is a... Read More
You've finally found that dream home that you have always... Read More
Refinancing and Car Finance - Is it Worth It?No doubt... Read More
Because the new bankruptcy laws go into effect on October... Read More
Finding a good lender to help you with refinancing your... Read More
Choosing a home loan has never been tougher. Yes, with... Read More
In decades past, most people who were interested in obtaining... Read More
Getting on top of your mortgage so you can pay... Read More
In days gone by, the family typically spent their evenings... Read More
Buying a home with poor credit is easier than ever... Read More
Refinancing your mortgage after bankruptcy is actually the same as... Read More
Many Homeowners are not aware of all the options that... Read More
Home mortgage interest rates hit record lows in 2004 and... Read More
I continue to see the same For Sale signs in... Read More
Wanna know a little secret? There is an ingenious method... Read More
A Home equity line of credit is a loan which... Read More
Homeowner - does this term catch your attention every time... Read More
Almost two thirds of first time buyers accept the first... Read More
Procuration fees paid by some sub-prime lenders are too high.Fact.There... Read More
When it comes to getting money, you have two basic... Read More
Refinancing can be a very simple process. You fill out... Read More
If you as an investor understand the process, you will... Read More
One of the things that bothers me about the mortgage... Read More
Texas was one of the last states to allow homeowners... Read More
W. Edwards Deming said "Marketing and innovation are the only... Read More
You have been paying on your mortgage for quite sometime... Read More
Home prices in the Untied States continue to soar, and... Read More
I once helped a customer cut over $700 off his... Read More
There are some definite benefits to doing a cash out... Read More
As interest rates have risen in the last six weeks... Read More
So you're thinking about building your own house, are you?... Read More
Reverse Mortgages are exploding in popularity and as the baby... Read More
Betty and John, are in their mid-seventies and are currently... Read More
About 29% of current homeowners and a much larger percent... Read More
Customers who opt for an interest only mortgage, and feel... Read More
Tapping your home's equity to pay college expenses, consolidate credit... Read More
California is a beautiful place to live There is no... Read More
Have you ever asked yourself how much home loan can... Read More
Almost two thirds of first time buyers accept the first... Read More
What is a "Reverse Mortgage?"Also known as a Home Equity... Read More
If you are among the millions with less than perfect... Read More
It is a common financial scenario across households in the... Read More
Refinancing your home is a major decision not to be... Read More
A brief list of some of the most common Mortgage... Read More
If you have low income and are looking to get... Read More
"You can save time and money by applying for a... Read More
A jumbo mortgage is different than a conforming loan. A... Read More
Asking yourself, "Is a home equity loan right for me?"... Read More
The most common type of home equity loan is the... Read More
With today's relatively low interest rates and climbing property values,... Read More
"You've been approved!" The words you have always wanted to... Read More
Inflation in the United States is increasing rapidly and home... Read More
In recent years, the mortgage industry has introduced dozens of... Read More
If you're looking for a cheap homeowner loan, you might... Read More
Buying a home with bad credit doesn't have to stop... Read More
Mortgage Refinance |