Foreclosures Help Information

Posts Tagged ‘legal’

Foreclosure Law Nj

The climate of the subprime mortgage era and its loose lending guidelines are long behind us.

 

The subprime lending practices have left many homeowners on the brink of foreclosure due to risky ARM mortgage loans written between 2002-2006. The government recently started a rescue package bailing out insolvent banks. In this package there is a provision for these bank and hedge companies to place a moratorium on subprime mortgage foreclosures. This is mutually beneficial for the bank and the homeowner. The bank will see less losses due to foreclosure proceedings,and property values in return will eventually stabilize. The Hope Now program recently passed in government mandates that the lenders that got us into this mess, are to work with borrowers to curtail any further losses for the bank in foreclosure. This is great news for the struggling homeowner in forclosure. The lender is now, more than ever, willing to modify your mortgage(loan modification) to keep you in your home and agree on a reasonable monthly payment. You must be able to demonstrate a reasonable ability to pay, but a loan modification is about keeping you in your home.

 

Foreclosures are costly for neighborhoods and for banks. Foreclosure involves attorney retainers for 1000's of loans on a banks books that could benefit from a loan modification. Some of these properties that could benefit from a loan modification have little or no remaining equity. A loan modification is a better alternative that a short sale for the homeowner and the bank. (SHORT SALE: Is where the borrower sells the property for less than the mortgage balance) A Short sale drives a neighborhood price down, the only person who benefits is the investor that buys the property via short sale. Your neighbors suffer a lower property value, The bank sustains losses, and you still have to leave your home with no money to rebuild after a significant set back. If the bank does a loan modification, gives you a more affordable payment, they lose potential interest gain. The bank secures interest and principal and you secure your home. The most costly proposition is a consummated foreclosure.

 

The bank does not want your home. The bank with do a loan modification if you or your attorney supervised counselor communicates with them.  The first step and first advantage of having a representative petition your mortgage servicer is the loan document audit. This is something that involves a knowledge of apr calculations,state fee thresholds,compliance regulations,and RESPA. The average homeowner is not aware that what the mortgage company did is illegal. We are seeing staggering numbers of TIL,RESPA violations. The predatory lending laws that are state specific have been the main culprit second to TIL (Truth In Lending Act) violations.

 

The lender is required to disclose the APR in the TIL. The lender that is in violation knows that litigation may be imminent if they don't do a loan modification for a borrower in trouble. A loan modification needs to explain the reason for financial hardship. The lender will want to see that by modifying the loan you have the means to support the modified payment. A loan modification is not an interim solution. It is a long term conversion for an ARM to a lower,affordable monthly payment without closing costs.

 

If you or a loved one are facing foreclosure or fear you may not be able to make your next mortgage payment, you need to call me for a free consultation.

 

The longer you delay the further you become from HOPE NOW.

 

 

About the Author:

Shawn Peck is an active approved loan modification specialist. Mr. Peck has spent 10 years working with Chapter 13 debtors as a home loan modification specialist.Mr Peck works in tandem with attorneys who handle all apects of preparing forensic TILA,RESPA loan audits for his office. Mr. Peck has succesfully modified many mortgages notes on behalf of his clients in partnership with HUD's Hope Now.
go to
www.learnloanmodsnow.com
for more info.
email the author
[email protected]

Source - Hope Now Loan Modifications,loan Modification as a Chapter 13 Buyout Alternative

Foreclosure

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Foreclosure Laws

Question: Is there a new foreclosure law stating a deficiency by a short sale on a primary residence is forgiven?

I keep hearing about a new law, that might be part of a presidential order, forgiving the short sale deficiency of a primary residence. Can someone provide confirmation of this new law? If so what are the guildlines, how does it work and what defines a primary residence according to this new law? Everyone who has shared this with me has been in the state of Arizona, is this new law only applicable there?

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Answer: There is no law like that at the present time.

However I have been an activist in the Democratic Party for over forty years.

I have been agitating for changes in our mortgage lending laws for years.

I am currently working with a Democratic candidate for Congress.

We are trying to unseat a do nothing Republican Congressman and I think that we have a good chance of winning.

When we win, we will be holding hearings on this whole mortgage mess.

We will be proposing legislation that will do away with this mess, make the lenders much less arrogant and more willing to work with people.

Ther is no such law on the books, yet.

We will have a Democratic President, a Democratic Congress and a Democratic Senate.

The greedy Republican mortgage lenders have been living off the backs of the working people for much too much time.

The greedy Republican mortgage lenders will learn a lesson they will never forget when we take over the government in 2008.

The Republican creeps will go down in flames in 2008!!!!

Understanding The Foreclosure Process - Part 1

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Tax Foreclosure Laws

Question: Land Contract Going Into Foreclosure....?

Hello,
My brother-in-law and his family are currently in a land contract with my mother-in-law. They have been into this contract for only 4 months, with a payment per month of $550.

Today, he found out that the home is in foreclosure and set to be auctioned in the early part of May. None of us, at the very least him, knew that she (the owner and mother) was behind in payments! We also, through some searching online, found out that she is also at least 2 years behind in back taxes!!!!

Is there anything that can be done? Can he call the mortgage company and assume the loan? If so, how lienent are they in their requirements? What about the taxes? Would he beable to pay the taxes once he was able to assume the mortgage? Or would he have to pay the taxes before hand and risk being out that money if he couldn't assume the mortgage?

Also, does he continue to make payments to the mother/owner of the home or should he put said payments in a savings account/escrow account?

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Answer: o_0 he is screwed. H emay have a civil case against the property owner though.

Foreclosure not the end of your debt; Bankruptcy is.

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