Upside Down Mortgage

Archive for December, 2008

Loan Modification Fha

Question: how can i find out who own my mortgage loan? i want to apply for the obama recovery refinance and modification?

i dont know what site to go to. i know theres a site to find out who owes my loan. i cant get thru to my lenders because the call volumes are high. but someone told me that i can access that info by going to a gov site to put in info for my lender, street address,etc. i have a fha loan.

Answer: MERS for Homeowners

Welcome to MERS for Homeowners
WHAT IS MERS?

While MERS primarily provides services to mortgage companies, we also offer an important benefit to homeowners—we keep track of the identity of Servicers that registered loans on our system.

WHAT IS A SERVICER?

The servicer is YOUR mortgage company. It is the company that handles the day-to-day tasks associated with managing your loan. Their duties include but are not limited to:

Collecting and remitting loan payments
Responding to borrower inquiries
Making advances when required
Accounting for principal and interest
Holding funds for payment of property taxes and hazard insurance (also called Managing your escrow account)
Making any physical inspections of the property
Counseling delinquent mortgagors
Supervising foreclosures and property dispositions in case of defaults
After your mortgage loan closed, your lender more than likely outsourced the job of managing your loan to another company called a SERVICER. This is the company you call when you have questions about your loan.

WHY DO YOU NEED TO KNOW THE IDENTITY OF YOUR SERVICER?

There are three reasons why you must always keep track of the identity of your Servicer:

Your Servicer is responsible for handling any questions you have about your mortgage loan. Payoff amount? Contact them. Taxes and hazard insurance? They should have that information too. Check your payment booklet. Do you see a toll-free number you can call or a website you can access?
Your Servicer is also responsible for collecting your payment. To avoid late fees and potential fraud, make sure you are sending your payment to the correct Servicer.
If you are unable to make the payments on your mortgage and wish to negotiate the terms of your loan, you may only do so with your Servicer. Contrary to popular belief, it is your Servicer and not the lender that can negotiate the terms of the loan with you.
HOW CAN I FIND OUT THE IDENTITY OF MY SERVICER?

MERS can help! You may:

Dial the toll-free MERS® Servicer Identification System at 888-679-6377, an automated touch-tone system, or
Access MERS® Servicer ID, a free web-based system.
Before calling or accessing the website above, please have the following information ready:

The property's mortgage identification number (MIN), or
The borrower's name and social security number, or
The property address
For more information and assistance on your mortgage loan, please visit one of the following websites:
HopeNow. An alliance between counselors, servicers, investors and other mortgage industry participants to assist distressed homeowners.
MortgageTown. Sponsored by the National Consumers League. Educates consumers on the step-by-step process of obtaining a mortgage.
Neighborworks America. A national nonprofit organization created by Congress to provide financial support, technical assistance, and training for community-based revitalization efforts.

What type of loan modification can I get if I have an FHA loan?

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Loan Modification Versus Foreclosure

Loan Modifications with Bad Credit

 Loan modifications are the perfect way for distressed borrowers to solve a delinquent mortgage problem.

Even if you have late mortgage payments, collection accounts, liens, judgments, or any other derogatory credit you can qualify for a loan modification.

Most homeowners in need of a change in their mortgage terms immediately think of a traditional refinance. However, many distressed borrowers cannot refinance because they do not qualify.

As most people know there are many qualifiers to be able to obtain a refinance of an existing mortgage. These qualifiers do not apply in the same way when it comes to a loan modification.

Some of those qualifiers are:

• Good Credit
• Equity
• Employment
• Income

CREDIT

The beauty of a loan modification is that since you are working with your current lender who is already invested in you and your home the criteria are far less stringent.

The toughest mortgage qualifier for a borrower who is behind in payments is credit. When it comes to a loan modification your credit is not analyzed.

EQUITY

In today's tough real estate market property values are plummeting. Many homeowners do not have the equity required to refinance. Remember if you are financially upside down in your home, your lender is too. Your current lender will not have an equity requirement when it comes to modifying your loan.

EMPLOYMENT

When it comes to employment, the normal mortgage requirements again do not apply. When applying for a new mortgage a lender will require a minimum of 2 years on the same job. In regards to a loan modification, the only requirement will be proof that you are indeed working.

INCOME

Income is also an important qualifier in the mortgage process. Although income is still a big consideration in a loan modification it is not considered in the same way as it is when applying for a new mortgage. Qualifying for a loan modification is simply a comparison of your expenses versus your income. If you can prove that you can pay your mortgage at a certain payment per month then the lender will modify your loan.

Always remember banks do not want to foreclose on your home. They take huge losses on foreclosed properties.

If you are behind on your mortgage, loan modification may be the perfect solution. Many a distressed homeowner have negotiated a loan modification and saved their family home from foreclosure.

You can too!

DAN HARRIS - ALL RIGHTS RESERVED 2008

About the Author:

Dan Harris operates Harris Capital Management and Mobil Settlement, LLC in New York and can provide detailed information on , Title Insurance Issues, Mortgages, New York City Real Estate, Loan Modification & Loss Mitigation and more.

Dan is available for seminars and speaking engagement.

He can be reached at LoanModBook.com, CashDan.com, and MobilSettlement.com

Article Source: ArticlesBase.com - How to Get a Bad Credit Loan Modification

Loan Modification, Short Sale or Foreclosure

Loan Modification Gov

Question: Loan Modification (IndyMac)?

I have a good friend who is part of a Loan Mod company. I do have a toxic ARM loan and although he is saying his company can reduce my intereste rate and make it fixed and possibly reduce the amount owed, I have to pay $6k to do so. My understanding is the gov has given the money to the banks and expect the banks to perfom loan mods themselves. Is this not something I can do with the lender myself? I was told if I tried the bansk would take advantage of me but if I know the terms someone else has been given, can't I get those terms myself?

Answer: Yes you may do the loan modification yourself.

The paper work is difficult to some people therefore Loan Modification companies have sprung up all around the nation to assist those that can't or are having problems completing the loan modification forms.

You may work with your mortgage company in completing the necessary forms. Most lenders have set up, within their mortgage company a loan modification division for your assistance.

If you still need assistance there are other loan modification companies that might charge you less than the $6000.00. You should call around for a better quote and perhaps get a referral from a family member or a friend. You might also check with your tax consultant, attorney or CPA for a referral.

The banks will not take advantage of you, they are most anxious to get you into a plan that will work so they will be able to collect a monthly mortgage from you each month knowing that you will not be going into foreclosure thus leaving them with a non-performing asset.

I hope this has been of some use to you, good luck.

"FIGHT ON"

Home Loan Modification Run-Around Continues