Tag Archives: getting a loan modification

Advice On How To Get A Loan Modification

Homeowner Tips for Getting Loan Modifications

by Srinivas Rao ProPublica, Sep. 15, 2010, 11:48 a.m.

ProPublica asked a simple question of more than 700 homeowners dealing with the administration’s mortgage modification program: Knowing what you know now, what tips would you give someone who’s struggling with a mortgage payment?Their advice: Get help, stay organized, and don’t give up.

In total, 718 homeowners, all of whom applied for a loan modification through the Home Affordable Modification Program, volunteered tips and tricks for struggling homeowners. While more than a third of respondents were skeptical about the value of program, the majority of respondents suggested simple steps homeowners should take to survive the process of applying for a modification. Culling through the hundreds of responses, three pieces of advice stood out.

Have you worked for a servicer in a loan modification call center? We want to hear from you.

Are you a homeowner who’s struggling to pay your mortgage? Are you seeking a loan modification through the government program? We want to hear from you.

Don’t do it alone. The most popular suggestion was a simple one: Don’t be afraid to ask for help. One hundred thirty-five respondents advised struggling homeowners to hire lawyers, contact their elected representatives, alert the media and file complaints with a variety of government agencies; they also advised homeowners to rely on emotional support from friends, family and other homeowners in the same situation. As one California homeowner put it, “Find others to talk to, or you will go crazy.”

One of the most recommended resources for struggling homeowners was the HOPE Hotline, at 1-888-995-HOPE. The Treasury Department-sponsored hotline, operated by the nonprofit Homeownership Preservation Foundation, helps connect callers with HUD-approved counselors who can provide struggling homeowners with information and support. Homeowners who suspect their servicer of making mistakes can escalate their case to a special HOPE Hotline team. The Hotline can also connect homeowners to local HUD-approved counselors; homeowners can access the list of counselors directly at HUD’s website.

Stay organized. Research and organization were important themes among respondents, with 125 of them advising homeowners to take notes, to do online research, and to get everything in writing during their campaign to get a loan modification. For many respondents, the process of applying for a loan modification stretched across months, involving an ever-changing parade of customer representatives that 64 percent say gave them contradictory answers at times. Respondents recommended everything from pen and paper to certified mail, phone recorders and video cameras to keep track of the process. As one New Mexico homeowner explained, “document your journey thoroughly — you will never be able to recall or communicate all the madness you will go through.”

Just keep trying. Another 48 homeowners stressed the importance of making mortgage payments by any means possible. Despite what 52 percent of respondents say they were told by their servicer, homeowners do not have to be behind on a mortgage to be eligible for a HAMP modification. By making their monthly payments, however painful, struggling homeowners can prevent themselves from descending into a spiral of debt, and perhaps avoid the loan modification process altogether. As one Massachusetts homeowner put it, “Sell your furniture, car, dog and your soul to the devil to get your mortgage payment. The banks are liars, incompetent and not trustworthy.”

Others offered optimism to those searching for loan modifications, asking struggling homeowners to not give up the fight. Ninety respondents told homeowners that they had to “be relentless,” to “persevere” and to “just keep trying.” Many who stuck with the program remarked that it eventually paid off, with one homeowner saving over $25,000 after treating the application process like “a part-time job.” While most described the struggle as heroic, at least one respondent put her advice bluntly: “It sucks, but stick with it.”

Still others gave homeowners common-sense advice, ranging from tips on how to getting a consistent story from your servicer (by building a relationship with one or two representatives you can reach directly) to how to improve your application’s viability (by watching your spending and not using your ATM card for eating out). One Maryland homeowner spoke for a handful of respondents in stressing the importance of being polite. “Above all, don’t be combative on the phone, or the entire conversation and time spent on hold will be for nothing.”

But some respondents were less hopeful about the value of the program. 193 respondents advised homeowners to steer clear of the program altogether, describing it as “pointless,” “humiliating,” “hopeless” and “not worth the hassle.” “Quit paying, save your money and find an apartment,” said one Nevada homeowner, echoing a common theme of many of the more downtrodden responses. “They’re going to get your house anyway they can.”

To many of these homeowners, the loan mod program is at once deeply frustrating and their best shot at securing their home and financial future. They have spent months, sometimes years, navigating a bureaucratic maze set up by their servicers, all the while in the dark about the final the status of their loan modification.

For struggling homeowners looking to start the process of a loan modification, one Florida homeowner may have had the most practical advice of all: “Pray.”

For A FREE List Of Foreclosures & Pre Foreclosures On The Central Coast Click HERE

If you have any questions about buying a Santa Maria home for sale in the Santa Maria Real Estate market or any properties on the Central Coastand need to get a loan in Santa Maria, CA or any where in the state of so I California not just on the Central Coast, so I can do California home loans, and first time home buyer loans, as well as refinance home loans and just plain simple mortgage loans. So please contact me by sending me an email at: GenePerez@GMSLoans.net

I do also service all the nearby communities and other markets such as the Santa Ynez real estate market, Nipomo Real estate market, Arroyo Grande real estate market, Grover Beach Real Estate Market, and all other surrounding areas regarding the homes on the Central Coast.

my goal is to provide you with resources you need. I can also help in getting the financing for your home. If you have any suggestions or questions in how I can provide more or better

information please let me know. I have been helping my clients for the last 15 years on the Central Coast, Gene Perez – 805-448-7101 , DRE 01321588

ben sig

 

Important Disclaimer: Questions and answers provided on this website and by Gene Perez is to be considered general information, and is not intended to substitute for informed professional financial, tax, legal, investment, accounting, or other professional advice.

Gene Perez is Licensed Real Estate Broker for Valley Hills Realty and a mortgage broker for Greater Mortgage Solutions.

This blog and its content is copyright of Gene Perez 2010. All rights reserved. Any redistribution or reproduction of part or all of the contents in any form is prohibited other than the following: you may print or download to a local hard disk extracts for your personal and non-commercial use only. You may copy the content to individual third parties for their personal use, but only if you acknowledge Gene Perez as the source of the material You may not, except with our express written permission, distribute or commercially exploit the content. Nor may you transmit it or store it in any other website or other form of electronic retrieval system without obtaining Gene Perez’s



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Lies On Loan Modifications

Did Your Servicer Lie To You About Denying The Loan Modification

Okay this  story not only affects the Santa Maria real estate market and upside down mortgage home loans but many seeking a loan modification. I know that this is kind of complicated so I am going to first break it down first, and we are just going to keep it simple AS POSSIBLE not get all complicated here.  You got a loan through Bank of America or Country Wide and what they did is they packaged all these loans and put them in what is called Mortgage Backed Securities Or MBS.  Now the investor can be a pension fund or a Mutual fund etc etc.  Now what confuses most people is that it does not say on your Mortgage Statement that T.Rowe price is who now owns your mortgage or is part of a thousand other mortgages all pooled together it can still say Bank of America or Wells Fargo etc.  So the bank you thought you had the loan with is really just servicing the loan they handle the paperwork, and the accounting all that good stuff.  They make money on servicing the loan for the investor handling on the little details that go into taking care of the loan.  Which can be a lot of work when you think of the thousands upon thousands of accounts the investors are just not set up to do it so that is why your statement still says Bank of America and so your bank actually becomes the servicer of the loan.


So now lets go forward in time and times are tough the interest rate has changed and you are trying to get loan modification because you just cannot keep up with the payments anymore.  So you are dealing with Wells Fargo and little did you know that Wells Fargo has to go to the investor to get approval to on your loan modification and this is where the games begin.

mha_logo

getting a loan modification in santa maria

First let me say I am not a big fan of the big banks and there games nor am I a big fan of the bailout.  Since we did bailout the banks with billions of dollars and they were able to maintain the ability to continue to do what they felt like.  The HAMP program has proved to be anything but successful but for more reasons than one.  Please keep in mind that getting a loan modification can be done via the Bank OR THROUGH THE OBAMA PLAN.  I hope that some of this information can be of use to someone and help someone out in trying to save their home from a needless foreclosure.   Now if you do qualify under the guidelines for the Obama plan and you have an INVESTOR- OWNED MORTGAGE they have to give you a loan modification unless it is spelled out in the investor agreement no modifications allowed but a third of all modifications are investor loans.  CLICK HERE FOR OBAMA GUIDELINES FOR LOAN MODIFICATION. Sad to say that there are homes for sale in Santa Maria that are foreclosed on that possibly were forclosed on needlessly and only because it was in the best interest of the servicer.

 

The problem is that many Servicers are starting to state that the investor will not allow a modification and turning people down for the loan modification even when they could of been offered one.  Servicers collect more money when you go to foreclosure by charging fees and passing the costs on to the investor.  So its not really in thier best interest to help you get that loan modification, sure they do some here and there but overall they do a poor job of it.  The sad thing is that the servicer is in control and making decisions that are not in the best interest of either the investor or the homeowner.  Now what makes things even more frustrating is if the homeowner tries to contact the investor … he is clueless as to who the investor is and the bank (servicer) will not help but just make things more complicated.

Here is a great article on this topic. CLICK HERE News_Flash

Next Blog I will give you a few resources and things you can do to fight back if you still the have fight in you the banks can seriously wear a person down and even give you the impression that there is nothing you can do but if you still have some fight in you I will try to post a few resources that may be able to help you.

For A FREE List Of Foreclosures & Pre Foreclosures On The Central Coast Click HERE

If you have any questions about buying a Santa Maria home for sale in the Santa Maria Real Estate market or any properties on the Central Coastand need to get a loan in Santa Maria, CA or any where in the state of so I California not just on the Central Coast, so I can do California home loans, and first time home buyer loans, as well as refinance home loans and just plain simple mortgage loans. So please contact me by sending me an email at: GenePerez@GMSLoans.net

I do also service all the nearby communities and other markets such as the Santa Ynez real estate market, Nipomo Real estate market, Arroyo Grande real estate market, Grover Beach Real Estate Market, and all other surrounding areas regarding the homes on the Central Coast.

my goal is to provide you with resources you need. I can also help in getting the financing for your home. If you have any suggestions or questions in how I can provide more or better

information please let me know. I have been helping my clients for the last 15 years on the Central Coast, Gene Perez – 805-448-7101 , DRE 01321588

ben sig

 

Important Disclaimer: Questions and answers provided on this website and by Gene Perez is to be considered general information, and is not intended to substitute for informed professional financial, tax, legal, investment, accounting, or other professional advice.

Gene Perez is Licensed Real Estate Broker for Valley Hills Realty and a mortgage broker for Greater Mortgage Solutions.

This blog and its content is copyright of Gene Perez 2010. All rights reserved. Any redistribution or reproduction of part or all of the contents in any form is prohibited other than the following: you may print or download to a local hard disk extracts for your personal and non-commercial use only. You may copy the content to individual third parties for their personal use, but only if you acknowledge Gene Perez as the source of the material You may not, except with our express written permission, distribute or commercially exploit the content. Nor may you transmit it or store it in any other website or other form of electronic retrieval system without obtaining Gene Perez’s

 

 

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