Loan Modification Blog » Alternatives to suffering Foreclosure http://www.1stforeclosureprevention.com/blog Loan Modification Blog Sat, 31 Jul 2010 03:04:43 +0000 http://wordpress.org/?v=2.8.5 en hourly 1 Stop Foreclosure http://www.1stforeclosureprevention.com/blog/2009/12/19/stop-foreclosure/ http://www.1stforeclosureprevention.com/blog/2009/12/19/stop-foreclosure/#comments Sun, 20 Dec 2009 00:52:45 +0000 admin http://www.1stforeclosureprevention.com/blog/2009/12/19/stop-foreclosure/ If you are heading towards foreclosure, the last thing that you want to do is to ignore the problem. The problem will not go away if you avoid phone calls. However, trying to deal with your mortgage company can be very difficult if you try to do this on your own. Chances are that they will only press you to make the minimum payment to keep you current, without offering you any solutions. If you manage to make a payment, the same thing will happen the following month.

When you use the services of 1st Foreclosure Prevention, you can often stop foreclosure in its tracks. You can get the lender to stop foreclosure from commencing in a number of different ways. 1st Foreclosure Prevention can advise you of what you can do to avoid foreclosure from happening. They can give you options that you might not even know exist to help you out of your financial predicament.

If you are heading towards foreclosure, it is best to know all of your options. 1st Foreclosure Prevention consultants will be able to examine your case and tell you which is the best route for you to take based upon your circumstances. If you want to sell the house and get free and clear, or stay in your home are options that can be discussed.

If you are heading towards foreclosure because you find that the payments are difficult to make every month, are bringing in less of an income due to a change in job or loss of job, or find that your home is worth less than what you owe, you should seek out the advice of 1st Foreclosure Prevention. 1st Foreclosure Prevention consultants can give you the answers that you need and help you avoid foreclosure through measures such as a loan modifications. Doing nothing should not be an option – getting foreclosure help at the first sign of trouble can help you prevent foreclosure.

]]> http://www.1stforeclosureprevention.com/blog/2009/12/19/stop-foreclosure/feed/ 0 What 1st Foreclosure Prevention Does? http://www.1stforeclosureprevention.com/blog/2009/12/12/what-1st-foreclosure-prevention-does/ http://www.1stforeclosureprevention.com/blog/2009/12/12/what-1st-foreclosure-prevention-does/#comments Sat, 12 Dec 2009 10:48:00 +0000 admin http://www.1stforeclosureprevention.com/blog/2009/12/12/what-1st-foreclosure-prevention-does/ 1st Foreclosure Prevention works to help homeowners stop foreclosure, usually by modifying their loans so that they can afford to make their monthly payments. The first step is to give a free foreclosure consultation to the borrower. This examines the amount of money that is due on the property, the worth of the property, the term of the loan and the ability of the borrower to pay money towards their mortgage.

There are many ways that 1st Foreclosure Prevention can help a homeowner. Loan modification is one of them. In some cases, short sales are also an option if the property can be sold to an investor before it goes into foreclosure. Most people today, however, are striving to keep their homes and prevent them from falling into foreclosure.

Foreclosure consultants at 1st Foreclosure Prevention will review the information obtained by the borrower and then come up with a solution that the borrower will be able to afford. They will then enter into a loan modification agreement with the borrower as well as come up with sample loan modification letters.

Once the borrower agrees to have 1st Foreclosure Prevention represent them to help them stop foreclosure, the foreclosure consultant team will begin to work with the lender to come up with a plan that will get the lender to lower the monthly mortgage payment. This is usually accomplished by lowering the interest rate as well as extending the term of the mortgage. Some of the lenders frequently worked with when it comes to loan modification include CitiBank, Bank of America, and many others. Loan modification consultants will review the loan modification samples that were used with other banks to see what the best course of action is for the particular case.

There is a growing movement to stop home foreclosures in the United States as an increasing number of homes are entering into foreclosure. Banks are eager to stop home foreclosure and resort to loan modification, as they do not need to have additional foreclosed homes on their books. Anyone who is facing foreclosure of their home, or feels that they might be heading down that route, can choose to get a free foreclosure consultation from a qualified 1st Foreclosure Prevention foreclosure consultant.

]]> http://www.1stforeclosureprevention.com/blog/2009/12/12/what-1st-foreclosure-prevention-does/feed/ 0 A Loan Modification Program can Stop Foreclosure http://www.1stforeclosureprevention.com/blog/2009/12/02/a-loan-modification-program-can-stop-foreclosure/ http://www.1stforeclosureprevention.com/blog/2009/12/02/a-loan-modification-program-can-stop-foreclosure/#comments Wed, 02 Dec 2009 08:06:48 +0000 admin http://www.1stforeclosureprevention.com/blog/2009/12/02/a-loan-modification-program-can-stop-foreclosure/ When you are looking for a way out from foreclosure, look no further than a Loan Modification Program. Many people today are involved in foreclosure or at risk of foreclosure while facing it with a lack of the needed knowledge to stop foreclosure from happening to them. A loan modification program can provide a homeowner with the necessary knowledge and expertise to stop foreclosure in its tracks.

With 1st Foreclosure Prevention, our loss mitigation specialist can help you stop foreclosure. They are well versed in all of the foreclosure laws in all states so that they can help you no matter where you live. They will give you a free analysis of your situation and can even help if you have other debt that is making it difficult for you to pay your mortgage.

A loan modification program is a settlement that is worked out with the lender that allows you to pay less each month for your monthly payments. This process occurs through negotiation. Our loss mitigation specialist has years of experience in this type of negotiation so that they can help you get the best deal for you. When faced with foreclosure, many do not know of the many options they have available to them or even that loan modification programs exist. They continue struggling to pay their mortgage and when they no longer can, watch as their home is taken out from under foot.

With foreclosures rocketing out of control, lenders very seldom offer loan modifications to borrowers. They do not have the time to go through each and every foreclosure to see who would be a viable candidate for such services. In addition, when borrowers who are aware of loan modifications do try to negotiate with their lender, it usually ends up with a stale mate or the lender not offering much give. This is why borrower should seek foreclosure help from a loss mitigation consultant who has experience in this field. They know how to deal with lenders ensuring that the borrower gets the best deal possible.

]]> http://www.1stforeclosureprevention.com/blog/2009/12/02/a-loan-modification-program-can-stop-foreclosure/feed/ 0 Upside Down Mortgage http://www.1stforeclosureprevention.com/blog/2009/12/02/upside-down-mortgage/ http://www.1stforeclosureprevention.com/blog/2009/12/02/upside-down-mortgage/#comments Wed, 02 Dec 2009 08:05:05 +0000 admin http://www.1stforeclosureprevention.com/blog/2009/12/02/upside-down-mortgage/ The worst possible scenario of foreclosure is that when the borrower owes more than the property is worth, otherwise known as an upside down mortgage. No one in their right mind wants to deal with foreclosure as it is, little lone this situation. Often times, even after a foreclosure the borrower can be left paying a deficiency judgment. With an upside down mortgage, this can be quite hefty and when you are already struggling, this can often lead to having to file for bankruptcy. Having a foreclosure is bad enough on a persons credit record, little lone the extra added damage of a bankruptcy as well.

This is where a loan modification can be a savior. A loan modification specialist can work out an arrangement with your lender to lower your monthly payments. This will enable you to remain in your home and at such a time when the home regains its value, leave the option up to you if you want to sale and get out from under it.

Many property values have plummeted in the United States due to the foreclosure crisis. Each time a home is sold less than market value in a neighborhood, the value of the surrounding properties lowers as well. Foreclosures auctions and short sales are causing many properties to sell for far less than what their market value was even just a year ago. This has caused the property values all over the United States to decrease resulting in thousands upon thousands and more homes sitting with upside down mortgages.

A loan modification program can allow a homeowner to stop foreclosure of their property, lower monthly mortgage, and stay in the home so that they can effectively ride out the storm. The home prices are expected to rebound, although it will be some years before they appreciate in value to the point where homeowners can regain their lost equity. Using a loan modification program is the best way for homeowners to stop foreclosure, stay in their homes and work towards regaining the equity that they once had in their homes. This is the ideal solution for those who are upside down in their mortgage and the positive alternative to foreclosure.

]]> http://www.1stforeclosureprevention.com/blog/2009/12/02/upside-down-mortgage/feed/ 0 New York Mortgage Safeguard for Prime Borrowers http://www.1stforeclosureprevention.com/blog/2009/12/02/new-york-mortgage-safeguard-for-prime-borrowers/ http://www.1stforeclosureprevention.com/blog/2009/12/02/new-york-mortgage-safeguard-for-prime-borrowers/#comments Wed, 02 Dec 2009 08:03:02 +0000 admin http://www.1stforeclosureprevention.com/blog/2009/12/02/new-york-mortgage-safeguard-for-prime-borrowers/ Last year New York put in place a law to help protect subprime mortgage borrowers from foreclosure and now they are trying to provide comparable legal safeguards to prime borrowers as well. State legislators passed a bill this month requiring lenders give borrowers a 90-day warning before initiating foreclosure proceedings and requiring that lenders take part in a settlement conferences with borrowers before initiating foreclosure. The bill is awaiting signature from Governor David Paterson who is expected to sign it into effect shortly. Once signed, it is said that the bill will take effect in full force within as little as two months.

The mandatory foreclosure settlement mediation alone can provide much needed relief for at risk homeowners. With out the expert help of loan modification specialist lobbying on behalf of the homeowners, borrowers rarely would get a lender to agree to a loan modification. The foreclosure conferences are free to the homeowners and lenders can be fined if they fail to come to the conferences with all the required financial documents needed for the mediators.

The subprime mortgage protection in place has had limited success, but not due to the bill, but the lack of borrowers attending the sessions. With the new bill, the lender is required to notify the state when there is an impending foreclosure. The state then notifies the housing counseling agency of the borrowers name at risk so they in turn can inform the borrower of all their options including the mediation program.

]]> http://www.1stforeclosureprevention.com/blog/2009/12/02/new-york-mortgage-safeguard-for-prime-borrowers/feed/ 0 Obama’s Administration Fighting against Foreclosures http://www.1stforeclosureprevention.com/blog/2009/12/02/obama%e2%80%99s-administration-fighting-against-foreclosures/ http://www.1stforeclosureprevention.com/blog/2009/12/02/obama%e2%80%99s-administration-fighting-against-foreclosures/#comments Wed, 02 Dec 2009 08:01:35 +0000 admin http://www.1stforeclosureprevention.com/blog/2009/12/02/obama%e2%80%99s-administration-fighting-against-foreclosures/ Posted today in the Philadelphia Inquirer was Obama’s administration effort to force lenders to aid in the stopping of foreclosures by insisting that lenders do all they can to help borrowers to prevent foreclosures.

This is a portion of the article that can be found in its entirety on The Philadelphia Inquirer. http://www.philly.com/inquirer/business/20091201_Treasury_presses_companies_to_help_prevent_foreclosures.html

“The Treasury Department said it would withhold payments to finance companies that aren’t doing enough to make mortgage changes permanent for those homeowners. Officials will monitor the largest of the 71 participating mortgage companies via daily progress reports.

The goal is to increase the rate at which troubled home loans are converted into new loans with lower monthly payments. At the end of October, more than 650,000 borrowers, or 20 percent of those eligible, had signed up for trials lasting up to five months.

Under the administration’s $75 billion Home Affordable Modification Program, companies that agree to lower payments for troubled borrowers are eligible to receive several thousand dollars in incentive payments for modified loans, but those payments won’t be made until the modifications are permanent.

Some executives, however, said they had had trouble getting borrowers to return necessary documents to complete the modifications, which allow homeowners to have their mortgage interest rate reduced to as low as 2 percent for five years”.

With lenders’ being forced to find feasible resolutions to foreclosure with homeowners, it is troubling to see the homeowners not taking this opportunity to save their home. If you are facing foreclosure and are uncomfortable for whatever reasons dealing with your lender let 1st Foreclosure Prevention be your voice. With the extra aid on your side, there is no reason anyone should lose their home to foreclosure.

]]> http://www.1stforeclosureprevention.com/blog/2009/12/02/obama%e2%80%99s-administration-fighting-against-foreclosures/feed/ 0 Reverend Jesse Jackson helps homeowner save their home http://www.1stforeclosureprevention.com/blog/2009/12/02/reverend-jesse-jackson-helps-homeowner-save-their-home/ http://www.1stforeclosureprevention.com/blog/2009/12/02/reverend-jesse-jackson-helps-homeowner-save-their-home/#comments Wed, 02 Dec 2009 07:59:48 +0000 admin http://www.1stforeclosureprevention.com/blog/2009/12/02/reverend-jesse-jackson-helps-homeowner-save-their-home/ Reverend Jesse Jackson came to the aid of a Toledo homeowner, Kim Bowers in dealing with her lenders to come up with a reasonable solution to foreclosure. In the works is a Toledo program to help prevent foreclosure for homeowners at risk – Save a Home – sponsored by the NAACP. The NAACP is still hammering out the details of the criteria for homeowners they will help, but like with homeowner Kim Bower’s by reaching out to the lender by a knowledgeable person is a great start in saving your home from foreclosure.

Here is the news clip Fox News ran on Jesse Jacksons and the NAACP’s efforts to help Toledo homeowners prevent foreclosure.

]]> http://www.1stforeclosureprevention.com/blog/2009/12/02/reverend-jesse-jackson-helps-homeowner-save-their-home/feed/ 0 Preventing Foreclosure http://www.1stforeclosureprevention.com/blog/2009/11/25/preventing-foreclosure/ http://www.1stforeclosureprevention.com/blog/2009/11/25/preventing-foreclosure/#comments Wed, 25 Nov 2009 07:31:01 +0000 admin http://www.1stforeclosureprevention.com/blog/2009/11/25/preventing-foreclosure/ For those who are in danger of foreclosure, whose mortgage is more than their home is worth, or are experiencing financial difficulties can get relief through loss mitigation. Loss mitigation can help a homeowner stop foreclosure and even stay in their home through a loan modification.

Loan modification can work to help a struggling homeowner pay their bills. Economists predict that nearly 55 percent of homes will be upside down by the year 2011. This means that 55 percent of homeowners will owe more on their property than the property is worth which often leads to foreclosure. The high unemployment rates are also adding to the foreclosure situation in the United States.

Loss mitigation specialist work with lenders to come up with a lower payment that the borrower has to pay monthly. This type of loan modification can help a borrower stay in their home and pay off their mortgage. In some cases, the interest rate of the mortgage is lowered and the term extended making the monthly mortgage much easier to maintain.

If you feel you may be heading towards being served with foreclosure papers, the sooner you seek help the better. Beat the lender to the draw if you can for say. The free foreclosure evaluation can give the borrower options that can help them stop foreclosure.

A foreclosure consultant will review the details of the loan and the level of debt to see what is the best solution to the problem. Foreclosure mitigation has many different facets with loan modification being one of them.

Lenders would rather use any other alternative than foreclosure due to the lack of real estate seekers and would rather get some money and not be stuck with the high cost of maintaining a vacant home. Most lenders are willing to work with loan modification programs, and are even more favorable to it when the borrower seeks help before the intent to foreclose papers go out.

]]> http://www.1stforeclosureprevention.com/blog/2009/11/25/preventing-foreclosure/feed/ 0 Loss Mitigation – Benefits both the Homeowner and Lender http://www.1stforeclosureprevention.com/blog/2009/11/18/loss-mitigation-%e2%80%93-benefits-both-the-homeowner-and-lender/ http://www.1stforeclosureprevention.com/blog/2009/11/18/loss-mitigation-%e2%80%93-benefits-both-the-homeowner-and-lender/#comments Wed, 18 Nov 2009 07:26:13 +0000 admin http://www.1stforeclosureprevention.com/blog/2009/11/18/loss-mitigation-%e2%80%93-benefits-both-the-homeowner-and-lender/ Due to the increasing number of real estate foreclosures, those who have invested in real estate through either purchasing a family home or investing in a homeowner are losing on their potential return. In order to prevent total loss, mortgage investors are still willing to put money into their investments, just not near as much as initially agreed to and are willing to swallow some loss. By doing this, they are practicing loss mitigation.

Mortgage lenders do not want to foreclose on properties, especially in this economy. It can end up costing them far more than working out some sort of feasible solution where they still get money. Foreclosures can cost the lender court and attorney fees as well as the financial responsibility of taking care of the physical property reverted to them while trying to secure a new buyer. Rather than foreclose, the better option for the lender is to work with the current borrower through a loan modification. The loan modification change the certain existing terms of the mortgage such as the length of the loan, interest rate, securing assets, and other terms that can be modified.

When an agreement can be made between the homeowner and lender in a loan modification, both benefit. The homeowner gets to keep the home at a rate that is more feasible to handle as well their assets, and the lender is getting something back on their investment. If you are facing foreclosure or are having difficulty maintaining your current mortgage payments, speak to one of the loan modification specialist here at 1st Foreclosure Prevention and let them help you save your home through a loan modification that will benefit both you and your lender.

]]> http://www.1stforeclosureprevention.com/blog/2009/11/18/loss-mitigation-%e2%80%93-benefits-both-the-homeowner-and-lender/feed/ 0 What to do When Your Mortgage Payments Have you Spinning Out Of Control http://www.1stforeclosureprevention.com/blog/2009/11/14/what-to-do-when-your-mortgage-payments-have-you-spinning-out-of-control/ http://www.1stforeclosureprevention.com/blog/2009/11/14/what-to-do-when-your-mortgage-payments-have-you-spinning-out-of-control/#comments Sun, 15 Nov 2009 02:22:58 +0000 admin http://www.1stforeclosureprevention.com/blog/2009/11/14/what-to-do-when-your-mortgage-payments-have-you-spinning-out-of-control/ When your financial situation becomes a problem, everything in your life can feel like it is spinning out of control, like any minute your complete world is going to come tumbling down. It’s terrifying to say the least for a single person to deal with, and beyond anything imaginable if there is family to tend to involved. Troubled waters may have hit due to work downsizing, lay-off, lost job, illness, death in family, or an accumulation of other financial issues. Difficulty handling a mortgage payment could have also arisen due to your mortgage having an adjustable rate making it difficult for you to budget what money you do have appropriately. Regardless of the reason you are struggling with your mortgage, there are ways you can save your home.

If you have fallen behind on your mortgage payments here are some foreclosure prevention options to consider.

Reinstatement:
If the reason you are unable to maintain your mortgage payments is temporary, this may be a feasible option for you. Contact your lender and ask for a reinstatement plan where you will be required to pay your entire past due amount plus any late fees and cost. A date for repayment in full will be agreed upon between you and your lender.
Repayment Plan: If you have only missed a few payments, this option may be feasible for you. A portion of what is in default will be added to your monthly mortgage payment amount until default is brought current.

Forbearance: Forbearance may be an option for you if you are temporarily having money issues such as a seasonal or temporary layoff, injury, or illness. A forbearance will suspend or reduce your monthly mortgage payments for a period determined between you and your lender where at the end of this period you will again resume making your normal monthly payments. The suspended or reduced portion of your mortgage at that time will either be required to be paid back in full or will be broke down and added to your regular monthly payments. In some situations, a lender may even give the option of adding the missed payments to the end of your loan agreement.

Loan Modification: Loan modifications are done when your lender agrees to change terms on your mortgage contract to make the mortgage payments more feasible for you. Term changes could include reduce interest rates, extending the term of the loan, adding missed payments to the loan balance, to even reducing the amount of money you owe by forgiving or cancelling a portion of the mortgage debt. .

Other options are selling your home with the least favorable option being filing for bankruptcy. If you are struggling with your mortgage, before it gets to far out of hand, seek help through us here at 1st Foreclosure Prevention and let us help you find a workable alternative to losing your home to foreclosure.

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