Upside Down Mortgage

Archive for May, 2009

Loan Modification Numbers

Question: What are the chances of Home Loan Modification actually going through...?

As in all the the places that have their phone numbers up to help, actual realtor companies, mortgage companies, anything?

Answer: This sounds very hardcore *skips*

Number One Reason Folks Dont' Apply for A Loan Modification

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I'm totally new at this so this may sound like a lame question (sorry). I see that a lot of the mention of the 'upside down mortgage' problems in real estate these days. But I am wondering if a home is worth $700,000 then how can you possibly owe more than that? Is it something to do with interest rate? Can someone explain? Forgive my ignorance.

Thanks,

Tammy

Subprime Solutions

Question: What is the chance of a quick Solution to the Sub-prime / liquidity crisis?

What are the chances that in order to solve the current subprime / liquidity crisis, the US Government will step in and BUY these CDOs at the current marked-down prices?

One could argue that such a move may on the one hand instantly clear-up the current liquidity crisis which has resulted from the sub-prime meltdown, while on the other (possibly) allow the taxpayer to benefit from the appreciation of the value of these deeply discounted assets as the mess clears and the economy improves.

What do you think? Is this likely? Is this a good idea?

Answer: Chances of a "quick" solution are slim. The IMF, i.e. an organization operating with the world (and the United States for that matter) financial data, seems to be concerned. And that's prior to the release of that data to regular folks like us. We might consider buying some diapers just in case. The crisis will pass eventually.

NACA's CEO Bruce Marks on Subprime Solutions - Part 2a of 4