The Consumer Financial Protection Bureau (CFPB) today released extensive mortgage servicing regulations it hopes will prevent “unwelcome surprises” for borrowers exiting forbearance. According to today’s final rule, servicers can initiate a foreclosure action only after the borrower has submitted a loss mitigation application, and either isn’t eligible for, breaks or rejects a loss mitigation agreement. […]
Category Archives: Avoid Foreclosure
Short Sales: Deficiency Judgments & Promisory Notes
For homeowners who have been unsuccessful in negotiating a loan modification, there generally remains two other options – a short sale or foreclosure. While a foreclosure involves the bank taking possession of the mortgaged property back through a legal process by which the owner forfeits all rights to the property leaving the mortgagor (aka the […]
Using Bankruptcy to Delay Foreclosure or Save Your Home
Chapter 7 Bankruptcy Chapter 7 bankruptcy is often a more popular choice for homeowners trying to delay a foreclosure rather than permanently block it. Chapter 7 is called a liquidation bankruptcy because the court might have to sell some of your property (by property, we are referring to more than just your home, basically your […]
Avoid Foreclosure Rescue Scams
Homeowners in distress are often the focus of “easy out credit scammers.” These entities call themselves foreclosure rescue companies, foreclosure assistance firms, or something similar. The scammer offers empty promises to the distressed homeowner in an attempt to make a quick profit from the distressed homeowner’s misfortune. With these companies, in the end the homeowner […]
What is a Loan Modification
Whether it’s called a loan modification, mortgage modification, restructuring, or workout plan, it’s when a borrower who is facing great financial hardship, having difficulty making their mortgage payments and is facing foreclosure, works with their lender to change the terms of their mortgage loan to make it affordable. The workout plan varies by lender, but […]
Short Sales / Foreclosures – How Long Can You Stay in Your Home After the Bank Files a Foreclosure Notice
If you’re having trouble making your mortgage payments and have already missed a couple of payments (or if you’re contemplating a strategic default), you may be wondering how long you’ll be able to stay in your home before the bank can repossess it. Before we dive into this topic I want to make it clear that FORECLOSURE […]
Short Sales
With many Americans still facing the very real threat of foreclosure, many are looking for ways to avoid it. One option, and a topic that has garnered a lot of industry interest, is a real estate short sale. Short Sales have become an increasingly popular, and common foreclosure avoidance tactic for homeowners but what are […]
What is a Short Sale
So you’ve fallen behind on your mortgage. You need to sell your home or condo but you owe more than it’s worth. You’d like to enlist the assistance of a real estate agent and an attorney to help advise you but you don’t think you can afford to pay either of them. You are being […]
The Short Sale Package
Although all lenders have varying requirements and may demand that a borrower submit a wide array of documentation, the following steps will give you a pretty good idea of what documentation the lender will require you submit and what to expect. Submit Letter of Authorization Lenders will not disclose any of your personal information without […]
FHA Short Sales
If you are the holder of a FHA mortgage and if you’re currently having trouble making your monthly mortgage payment, or one who is already in default, you’ll be happy to learn that FHA short sales are some of the easiest to process. The reason FHA short sales tend to be easier than conventional short […]
