Mortgages Loans :Loan Modification Q&A

admin — Mon, 21 Dec 2009 13:14:40 +0000

Do you qualify for a loan modification under the Obama Program (HAMP)? And do you need help? Find answers here for free!

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Article Content:
What is a loan modification?
A loan modification is an agreement between borrower and lender to help the borrower afford their home.

A loan modification, also known as mortgage modification or loan workout, can help homeowners achieve a lower interest rate, lower monthly payments, forgive legal fees, reduce the loan balance, waive unpaid late fees, convert from an Adjustable Rate Mortgage (ARM) to a fixed-rate mortgage, extend or shorten the duration of the loan, and stop the foreclosure process.

A loan modification is usually in the best interest of both bank and homeowner, as it allows the homeowner to make a lower, affordable payment, while helping the lender avoid losing money due to foreclosure.

Do I have to be late on my mortgage to qualify?
If your lender participates in Obama’s Home Affordable Modification Program, you do not have to be late on your mortgage payment to qualify for a loan modification, however you do need to exhibit documentation that shows that you will default on your next mortgage payment.

In many cases, you actually do not have to be late on your mortgage to qualify for a loan modification!

Often times, if you have a forensic audit performed and you can bring a lawsuit to bear against your lender or servicer based on legal violations, and give them the option of avoiding litigation by modifying your loan, guess what, most of the time, lenders will grant a very aggressive loan modification with far better results than possible through hardhip based loss mitigation techniques!

What is foreclosure?
A foreclosure simply put is when a lender undertakes legal proceedings to repossess a property that is in default. When a homeowner has not been able to make their mortgage payments for an extended length of time, the lender may feel that the loan has defaulted, and will attempt to take back the property. In a foreclosure, any equity that the homeowner has in the property is lost, and the homeowner has to immediately vacate the premises.

Can ModificationZoom get me a loan modification? Do you guarantee results?
We pride ourselves on being the very best Loss Mitigation Group you can possibly retain. Our Attorneys, paralegals and legal assistants, loss mitigation specialists, processors, and representatives are committed to fighting for the best possible results on your loan modification.

We stand behind our commitment to help homeowners with a 100% money back guarantee, and have actually helped over 100 homeowners modify their loans pro bono (for free).

On average, of each 200 cases that we accept, we will successfully negotiate agressive loan modifications for 195 applicants; we are over 97% successful in helping our clients save their homes.

I was told my Lender was doing everything they can to help?
Nothing could be further from the truth. For the second time in the last month, President Obama has summoned top CEO’s of the remaining major mortgage banks to the White House to explain in person why more mortgage loan modifications are not being done for struggling homeowners.

Additionally, Treasury Secretary Tim Geithner and Housing and Urban Development (HUD) Secretary Shaun Donovan have had to continuously put pressure on mortgage Banks to help homeowners modify their loans. Many State Attorney Generals have partnered with the FTC to sue mortgage servicers that are not granting loan modifications, and that have made a business practice out of putting homeowners in toxic mortgages.

Hold times for homeowners are particularly outrageous, as perfectly documented by Congresswoman Maxine Waters’ two-and-a-half hour long ordeal on the phone with Countrywide / Bank of America trying to help her constituents get loan modifications.

Mortgage companies simply do not have the man power to help all of the homeowners that they have screwed over. Recent pressure has been placed on lenders that have received TARP funds to hire more employees, and banks claim to have complied. Why then does it take so darn long to get on the phone with someone, and why, unless you are an attorney, do the lenders continuously claim to be unable to help!

Often times, lenders will place homeowners in loan modification or loan workout plans, or forbearance agreements in which the borrower ends up paying more that their original mortgage payment! How does this make any sense??

What is the loan modification process?
Complete a “quick-qual” application to the right. A ModificationZoom Certified Professional will contact you and help you prepare a financial prospectus, hardship letter, and advise you of what to expect through the loan modification process. Once we recieve your signed ModPack™ along with supporting documentation, our Attorneys and paralegals will contact your lender and begin the modification process. Typically, it will take your lender between one to two months to assign a negotiator.

Once a negotiator has been assigned, we negotiate on your behalf for the best possible results on your loan modification, keeping you advised through each step of the process. We offer unlimited negotiations with your lender, and will go back to the negotiating table as many times as necessary to get the results you need.

When we have concluded negotiations with your lender, a loan modification agreement will be sent to you to sign and send back. Upon singing of the loan modification agreement, congratulations, your mortgage is modified, home saved, and you are saving tons of money!

The loan modification process can be quite confusing at times, and naturally, you have questions about how loan modifications work. Answers to most general questions regarding loan modifications, loss mitigation, and loan workouts can be found on this page, but of course we are here to answer any questions that you may have. If you have a question that is not answered above, feel free to leave a reply and an expert will provide an answer shortly, or simply have a loss mitigation specialist call you directly by completing the “quick-qual” application form to the right.

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Best Mortgage Loan :Making Home Affordable Loan Modification

admin — Mon, 21 Dec 2009 13:14:40 +0000

Loan modification help is just a few seconds away. Find out more about Making Home Affordable here!

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Article Content:
What is Making Home Affordable?
Loan modification help is only a few seconds away! Read this article to find out more about the Obama Administration’s Making Home Affordable loan modification program and to see whether or not you qualify.

The Home Affordable Modification Program (HAMP) is the single best way to achieve a fixed rate loan modification that will significantly lower your monthly mortgage payments. You do not have to be late on your mortgage to qualify under the Government Initiative, and your loan does not necessarily have to be held by Freddie Mac or Fannie Mae.

Financial incentives are given to lenders that participate in modifying mortgage loans under the initiative, and to date hundreds of thousands of homeowners have saved their homes and avoided foreclosure through loan workouts.

Which Lenders Participate in Making Home Affordable?
If your loan is currently guaranteed by Fannie Mae or Freddie Mac, participation by your mortgage holder, or servicer, is mandatory, and if you qualify for a loan modification under the guidelines, they must approve it. Otherwise, lender participation is voluntary. Here’s an up to date list of which lenders participate in Making Home Affordable:

1. American Home Mortgage Servicing, Inc.
2. Aurora Loan Services, LLC
3. Bank of America, N.A.
4. Bayview Loan Servicing, LLC
5. CCO Mortgage
6. Carrington Mortgage Services, LLC
7. CitiMortgage, Inc.
8. Citizens First Wholesale Mortgage Co.
9. Countrywide Home Loans Servicing LP
10. EMC Mortgage Corporation
11. Farmers State Bank
12. First Banks
13. First Federal Savings and Loan
14. GMAC Mortgage LLC
15. HomEq Servicing
16. Home Loan Services, Inc.
17. IBM Southeast Employees Federal Credit Union
18. J.P. Morgan Chase Bank, NA
19. Lake City Bank
20. Lake National Bank
21. Litton Loan Servicing

22. Mission Federal Credit Union
23. MorEquity, Inc.
24. Mortgage Center, LLC
25. Oakland Municipal Credit Union
26. Ocwen Financial Corporation, Inc.
27. PennyMac Loan Services, LLC
28. PNC Bank, National Association
29. Purdue Employees Federal Credit Union
30. RG Mortgage Corporation
31. Residential Credit Solutions
32. Saxon Mortgage Services
33. Select Portfolio Servicing
34. Servis One Inc., dba BSI Financial Services, Inc.
35. ShoreBank
36. Technology Credit Union
37. Wachovia Mortgage, FSB
38. Wachovia Bank, NA
39. Wells Fargo Bank ,NA
40. Wescom Central Credit Union
41. Wilshire Credit Corporation

What Are the Guidelines for Making Home Affordable?
You can qualify for a loan modification under Making Home Affordable if you meet the following guidelines:

1. Your home is your primary and only residence
2. The amount that you owe on your first mortgage is equal to or less than 9,750
3. You are having trouble making your monthly mortgage payments
4. You got your current mortgage before January 1, 2009
5. Your payment on your first mortgage (including principal, interest, taxes, insurance, HOA fees if applicable) is greater than 31% of your current gross income

What are the Benefits of Making Home Affordable?
Many borrowers say, ok, I want to save my home and lower my monthly mortgage payment as much as possible. How much money will I save if I get a loan modification through the Home Affordable Modification Program (HAMP)?

Under Making Home Affordable, your new monthly payment will be the maximum amount that you can afford under program guidelines. The target maximum amount for your monthly mortgage payment is based upon your “front end” DTI or Debt-to-Income Ratio. To calculate your new mortgage payment and to determine how much money you will save, multiply your gross monthly income by 31%.

For qualification purposes, do not include any payments on your second mortgage. Make sure to account for taxes and insurance by dividing the yearly or quarterly amounts to monthly figures. If you are currently escrowed, make sure to account for your Taxes and Insurance only once.

HAMP expires on December 31,2012. Your trial loan modification must be in place prior to this date in order to get a loan modification through MHA.

If you are in need of loan modification help, or your lender is being uncooperative in helping you get a mortgage loan modification, please contact us by completing a quick application right here on our website. We are Modification Zoom, and we are here to help!

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Mortgages Loans :Loan Modification Q&A

Best Mortgage Loan :Making Home Affordable Loan Modification