Upside Down Mortgage

Archive for May, 2008

Loan Modification Training Program

The loan modification processing wait can be gut-wrenching. That's why it's important that you fill out the application forms and write the hardship letter just as your lender requires.

Many homeowners opt to use a loan modification company to ensure their paperwork is perfect. But if you're not comfortable with relying on paying for services that might not yield any results or are confident that you fit your lender's requirements, you can take some steps to avoid that loan modification processing time nervousness.

1. Before requesting an application, filling one out line, or getting in touch with a modification company call your lender's loss mitigation or loan modification department and ask for their requirements. You may also be able to get information on the programs they offer. Knowing what they're looking for is the first step in successfully getting a modification on your mortgage, and the amount it can help cannot be understated.

2. If you're not confident on your eligibility or ability to fill out the paperwork properly, it may be better to get assistance with your application. You can get assistance through trained FHA associates or through loan modification companies. Both services will help with your application and hardship letter, as well as try to get the best results possible from your lender. However; The FHA associates will do the services for free, while companies do not. Modification companies usually charge a fee for filling out the paperwork and if the modification is successful.

3. If you choose to do the modification paperwork on your own, do some research online about your lender. Some lenders are easier to get a modification from than others, and it could be a huge weight off your shoulders during the loan modification processing period to know not only exactly what your lender is looking for on your papers, but also the experiences of others who have worked with them.

4. After you have submitted your application papers, keep in mind that being approved takes more than six weeks, so sit back and try not to think about it. After about the seventh week, feel free to call the loan modification department and ask about your application. Most applications take eight weeks to be approved, but calling on the seventh might make you feel better about the wait.

Keep the above points in mind throughout the whole process, but don't stress out too badly while you're waiting for the approval. The loan modification processing time takes a while to weed out those who do not qualify, and if your papers show that you do qualify and you're sure that you filled them out properly, you should be fine.
About the Author:

For additional information and useful resources for mortgage loan modifications, visit the #1 loans modification spot on the net: http://HomeLoanModifications101.com

Article Source: ArticlesBase.com - Most Loan Modification Processing Takes Eight Weeks

Loan Modification Program: Full Service Done For You

If you're new around here, you might want to subscribe to our Upside-Down Mortgage RSS feed. It's quite likely the only feed of it's type on the internet!

Housing Bubble Causes

Question: Did landlords cause the housing bubble by gouging tenants?

I'm selling my house and trying to decide whether to rent or buy afterward. It is shocking to me how much it costs to rent an apartment in the Baltimore, MD area. A two bedroom apartment in a nice area costs the same as a mortgage on a small house in the suburbs, even if you bought at or near the top. What gives?

Answer: No, landlords did not cause the problem, in fact they were harmed by the bubble. People who should have been renters, who had no business buying, DID buy and they are the cause of the problem.

03/17/2009 Part 2: Beck SLAMS Barney Frank, others for helping to cause the housing bubble

Loan Modification Vs Refinance

If you own your home and have missed a few payments, the foreclosure process can start very quickly. As this is a stressful time for most people, it’s important that you quickly learn everything you can to stop foreclosure processes and try to save your home. Be very aware: no one will do it for you and the process can move quickly. So, if you want to stop a foreclosure, you need to take responsibility and get the process moving quickly.

Options to Stop Foreclosure:

The first thing to know is that your lender is willing to stop the foreclosure process. In fact, almost all lenders hate foreclosing. That’s right! Even though it is one of the most adversarial financial processes, they hate it too.

Mortgage lenders typically lose money when they foreclose, since most foreclosed homes are worth less than the value of the mortgage. Plus, the foreclosure process is expensive to manage and is stressful for everyone. What that means is that you have options… so learn about what you can do and start moving to stop foreclosure fast!

Stop Foreclosure Yourself vs. Hiring a Firm to Stop Foreclosure:

There are many firms that charge a fee to negotiate on your behalf, like Freedom Foreclosure Relief (http://www.beforeclosure.com). Basically, those firms will work on your behalf to negotiate forbearance, loan modification, or to save your home. Be very careful of someone who wants to BUY your home, and if someone offers you that service (and you will get solicitations from vultures who hang around consumers facing foreclosure) make 100% certain that you first try to assess the equity value in your home and if there is equity available you can either refinance (Free Refinance Quote) or sell your home on your own.

If you do decide to hire a firm, since negotiating with the lender to find the best solution is complicated and time consuming, pick a good one and shop around. Depending on your situation and who your mortgage lender is, the nuances of negotiations are critical to a successful outcome. You need someone who is experienced at foreclosure negotiation. Your firm that will stop foreclosure will present you in a way that convinces your lender that you are a responsible person and that you are capable of developing a plan and getting back on track.

They will negotiate on your behalf and find the plan that fits your situation best, and help you stop foreclosure.

Your Foreclosure Options:

* Foreclosure Mediation to Stop Foreclosure - This service negotiates with the lender to repackage the loan so that the borrower can become current again. It will help save your credit, keep you in your home, save your home equity and appease your lender. This process has to happen pretty quickly, and could involve one or more of the following:

a) Loan modification

b) Payment forbearance

c) Loss mitigation

* Deed in lieu of foreclosure - This is where you are unable to pay for the house and you voluntarily give the house back to the lender. This is subject to a deficiency judgment yet counts as a "less serious" foreclosure on your credit. However, you lose your greatest asset, your home. Also, not every lender will always accept this arrangement.

* Sell your house - You lose your home in this situation but you may save some of the equity in your home. Include the standard 6% realtor fee when calculating your net proceeds from the sale. Also, be aware that because you are in foreclosure and under intense time pressure to sell your home, you may not receive the full market value for the home. Worse yet, three months from now, you may not have sold your home and now owe an additional three payments on your home and still face foreclosure.

* File for bankruptcy - This can be a very expensive and drawn out process through which there is no certainty of outcome. In the end, a court decides the outcome of all your assets and will leave you with a severely damaged credit record and the strong possibility of no home. If you are considering bankruptcy, you should contact an attorney to discuss this option.

In the end, there are a variety of considerations when you try to stop foreclosure, so educate yourself and plan for the best resolution to the foreclosure process.

For more articles on Foreclosure, visit: http://www.bills.com/foreclosure/

About the Author:

Justin has 5 years of experience as financial adviser; his key areas are consolidation, insurance, debt relief, mortgages etc. For more free articles and advice visit http://www.Bills.com.

Article Source: ArticlesBase.com - Stop Foreclosure

Loan Modifications Vs. Refinance- 866-60-MODIFY!