55,687 homeowners received permanent, proprietary loan modifications in July compared to 50,283 in June, an increase of 11 percent Of proprietary loan modifications that were completed 80 percent (44,413) included reduced monthly principal and interest payments with 60 percent (33,302) receiving a reduction of more than 10 percent 87 percent (44,402) received fixed interest rate […]
Deed in lieu of foreclosure: one voluntarily gives their home to the lender in exchange for cancellation of their loan Short Sale: where the lender allows the homeowner to sell their home for less than what is owned Foreclosure: where the lender takes the home through a court proceeding Is one choice better for your […]
Short sales increased 19 percent in the second quarter of 2011 and account for 12 percent of all sales nationwide Distressed property sales, including foreclosure sales and short sales, accounted for 31 percent of all U.S. residential sales in the second quarter, down from nearly 36 percent in the first quarter but up from 24 […]
Deficiency: If after the short sale there is a deficiency between what you owed on your loan and what the house was sold for you may be on the hook for that amount, unless there is a written agreement otherwise. In addition, if this amount is forgiven and it was larger than $600 you may […]
1. Your credit score will drop. Since you must be at least 90 days late in your mortgage payments your score will drop around 140 points. 2. If your bank decides to it can choose to sue you for the difference from the short sale and what you owe. 3. The bank gets the final […]
The HAFA program gives homeowners the option of a short sale or a deed in lieu of a foreclosure in order to help them avoid a foreclosure proceeding. There are many homeowners who are unaware of this program and if they are running out of options should think about this. It is generally said that […]
Senator Patrick Leahy and Committee Member Richard Blumenthal are looking into “ongoing abuses and fraudulent practices by mortgage servicers are needlessly forcing foreclosures on families struggling to stay in their homes — slowing our economic recovery,” (Blumenthal). They are starting by requesting information from 11 leading mortgage services on the polices and practices that each […]
Debt Settlement They negotiate with the credit card companies or collectors for generally a single payment (Can go up to 6 months) of which is for a percentage of what you owe. This can be anywhere between 80% to 20% of your original debt. They get their money in either a monthly payment plan or […]
There are times when you have to fill out a Form 1099 and will have to pay taxes on that amount because you earned an “income” on your debts. For instance: When you settle out a debt with a credit card company and the difference between what you pay and what you owed is greater […]
Recently, there has been another scheme put into place by people that want to steal your money; they are called mortgage audits. The FTC and many Better Business Bureaus have been receiving complaints. Yes, there are good mortgage audits. So how do you tell which ones are bad? Upfront Fees Promises to stop Foreclosures Promises […]
