Making Home Affordable: How Not to Get Ripped Off
How do you find a good loan modification specialist who won’t rip you off? Today’s economy continues to frighten many homeowners into taking a serious look at their mortgages. Many homes are no longer worth what they were when they were purchased and owners are deciding what options they may have.
How do you know if you are getting ripped off? There are scammers all over and many have absolutely no problem with taking your hard earned money from you in the guise of helping homeowner’s save not only their homes but also repair their credit scores. These scammers prey on the economic instability people continue to face as we go forward into the new decade. Jobs are still in short supply, layoffs and cutbacks continue to hit average people in the pocket book.
Your first step is to find out who insures your loan. Lots of loan holders have mortgages and never have needed to know who their insurer is, so don’t feel stupid if you don’t know. A quick phone call to Chase bank will tell you who backs your loan. If the answer is Freddie Mac or Fannie Mae, then you’re in luck. A new $75 billion government loan modification program to help homeowners with Fannie and Freddie loans will help you get back on your feet with modified monthly payments of 31% of your gross monthly income.
Naturally there are some general requirements that homeowners must meet before participating in the Making Home Affordable plan. They must be the owner-occupant of the home, owe less than $729,750 and have a loan that was taken out before January 1, 2009. You must currently pay above 31% of your gross monthly income and each loan can only be modified once. The plan is highly beneficial and if you suspect that you qualify then find a HUD-approved financial counselor to tell you more. Through incentive payments to lenders and borrowers, the government encourages successful modifications that benefit everybody.
If you don’t have a Fannie or Freddie loan, however, don’t worry. There are still Chase Bank modifications available. The deal you get is not going to be quite as good because of the absence of government funding, but it’s certainly better for you and your credit rating than foreclosure. Chase asks applicants to be occupants of the house in question, holders of a first mortgage (no prior refinances or modifications), and the ability to pay between 31% and 40% of their gross monthly income.
In respect to positive turning of tides, Realtors who are setting a responsible example of professional expertise have not only graduated recognized professional designation courses, they have also invested in other educational seminars which expand on these and offer additional practical, theoretical and psychological training in dealing with both counseling distressed homeowners along with compassionate and tactical methods of dealing with their uneducated Agents counterparts whom are likely to bring forth their awaiting Buyers. These are the ‘New School’ Agents of our time. This raise of the bar is as equally important in my opinion and is an element of what I saw missing when my Short Sale training seminars were incepted and are currently offered to Agents in Southern California under the title of “The Short Sale SHIFT”. Agents interested in more information on these courses may inquire directly through The OracleGroup, Los Angeles, contact me directly or may pre-order my book scheduled to be released this August.
Learn more about Obama Mortgage Relief Plan Qualifications.
