How to Beat Foreclosure:
Helping People Keep Their Homes
One of the most devastating things that can happen to you is to lose your home. In many cases, there are techniques that help.
If you (or someone you know) has lost their job, has less work (e.g. in construction or housing) than before, you may not be able to make full payments, and could go into foreclosure.
I’m Jim Krage. You can read more about me at www.JamesKrage.com.
I’ve been providing FREE Info since 2001 at WaMuFraud.com, StopBankFraud.com, ZeroOutDebts.com, AmericanLoanAudits.com, and now NoInterestRate.com.
Techniques that are commonly known to Help:
TILA, RESPA, HOEPA, Securitization Fraud, etc
American Loan Audits.com
Call Jim for Details at (562)867-3230
(Disclaimer: I am not a Foreclosure Consultant or Loan Modification Consultant. I audit Loan Documents for errors and/or fraud for info you can take to a lawyer
Want to Fight Your Lender or Get Cash Out?
Call Jim for Details at (562)867-3230
Special Forbearance or Loan Workout.
Borrowers can try to get a new payment structure if they can show a hardship, like lower income, loan balance greater than home value, increases in expenses (car repairs, disaster, accidents, added medical expenses, college tuition,etc) or other problems. This payment restructuring may help the homeowner repay the lender in a different time frame. Often, the lender may lower the interest, with lower payments, but they usually refuse to lower principal. Second mortgages usually either disappear or are negotiated to 5% to 10% of their original balance, especially in cases where the loan balance is greater than the home value. Anybody can try to negotiate a loan modification, but most can’t force the lender to accept it.
Often, someone can contract to buy it from you and negotiate with the bank, so the foreclosure auction doesn’t ruin your credit further, and the bank can’t do anything more to you. This is a called a negotiated Short Sale.
Sometimes, you can get another loan before it’s too late. If your credit isn’t ruined, you can try for a conventional loan. Otherwise, even a hard-money loan may save your house.
Lower the Amount of the Loan
Lower the Interest
Experts can negotiate with the Banks and Mortgage Companies to lower the interest, but very few can lower the total amount of the loan. They do this with a Loan Modification Proposal after a Forensic Loan Audit. In the Forensic Loan Audit, they document laws broken in the documents provided by the lender. Then, they show that bank that you have a temporary hardship, that the value of your property has gone down in the current market, and that we want to help you save your house. With the results of the audit, the legal department for the lender is eager to accept the loan modification, instead of going to court.
The lenders won’t budge if you call them, but some experts can prepare a complete proposal for loan modification with the results of a Forensic Loan Audit that they can’t refuse. If the audit finds laws violated, they talk directly to the lender’s Legal Department to get fast results. 85% of current loans are found to have violated laws. For the other 15% that haven’t violated laws, they usually talk directly to the Loss Mitigation Department, whereas most other companies try to deal with a more obstinant Loan Modification department. Loss Mitigation has a greater desire not to acquire another property.
After Foreclosure, You May Still Owe
If your home is sold in foreclosure, some states allow a deficiency judgment: you still owe the bank money after foreclosure, if the sale price is less than the mortgage amount. In those states, if market values have dropped, the owner may have to pay thousands of dollars after foreclosure.
Most Lenders Don’t Want to Foreclose
At higher levels, you’ll find most banks and other Lenders don’t really want to foreclose. If they foreclose, it’s usually to try to recover the money they loaned and mitigate their losses. It’s a real hassle, and most lenders want avoid it, if possible.
There are many ways we can help you. Most lenders will be glad to hear that the borrower wants to work at keeping their home instead of waiting for foreclosure.
Housing Counseling Agencies: HUD, The US Department of Housing and Urban Development has a list of HUD-approved counseling agencies. Call (800) 569-4287 to get an agency that’s close.
FHA-Insurance fund. FHA borrowers might qualify for HUD to make a one-time payment on their mortgage. Visit www.hud.gov/foreclosure for the requirements.
This article was written by Jim Krage of Beat Foreclosure Fast .com, Zero Out Debts .com, Salvo Casas .com, Stop Bank Fraud .com, WaMu Fraud .com.
(Disclaimer: I am not a Foreclosure Consultant or Loan Modification Consultant. I audit Loan Documents for errors and/or fraud for info you can take to a lawyer.