In June, I outlined one of the main reasons why lenders do not want to offer a loan modification to borrowers in default. That was just one of the many reasons why it’s been difficult for borrowers to avoid foreclosure. (If you’re looking for the long list, that can be found in “How to Avoid Foreclosure and Stay Out of Foreclosure.”
If you enjoyed this post, make sure you subscribe to my RSS feed!
Just when you thought that Congress was the only legislative body screwing things up, there’s news that New Jersey legislators are moving forward on a new bill to “encourage” lenders to avoid foreclosure. The New Jersey Home Ownership Preservation Act would tax lenders $2,000 for every foreclosure.
If you enjoyed this post, make sure you subscribe to my RSS feed!
As I mentioned in my previous post on the proposed RTC plan to avoid foreclosure crisis, there is already a long list of players who want to buy distressed mortgage assets. So I wondered whether the federal government would end up paying more for these assets than the well-capitalized “vulture” funds.
If you enjoyed this post, make sure you subscribe to my RSS feed!
The latest thinking on what to do with all the bad paper resulting from the foreclosure crisis is to create a new version of the RTC. This entity would buy the under-performing loans from current investors. Democrats want to ensure that this new entity will be more flexible in dealing with homeowners who want to avoid foreclosure.
If you enjoyed this post, make sure you subscribe to my RSS feed!
One thing that I’ve noticed about homeowners who are trying to avoid foreclosure is that they commonly have a long denial phase. And the deeper they get into the foreclosure process, the more likely they are to slip back into that denial. They often make very poor decisions along the way, all in the name of maintaining the (previous) status quo, and trying to avoid foreclosure.
If you enjoyed this post, make sure you subscribe to my RSS feed!
Everybody loves loan modifications! In another case of “Run your mouth first, do your homework later,” Neighborhood Assistance Corp. of America president Bruce Marks is calling on Fannie Mae and Freddie Mac to adopt Sheila Bair’s “streamlined” loan modification process.
If you enjoyed this post, make sure you subscribe to my RSS feed!
The key issue in the Ms. Walker story about her attempt to shame her bank into helping her to avoid foreclosure is that she’s already a member of a national group that claims be in the business of helping people to avoid foreclosure.
If you enjoyed this post, make sure you subscribe to my RSS feed!
I recently read the unfortunate story of a homeowner in foreclosure who decided to take matters into her own hands. She took out a “Pick a Pay” loan in 2006 and is now trying to avoid foreclosure because she can’t afford the payments now.
If you enjoyed this post, make sure you subscribe to my RSS feed!
Ocwen Financial (OCN) recently reported that the number of delinquencies in the loans it services are down. Ocwen has been a player in the sub-prime sector for a few years… a “fine organization.” A year or two ago, if you googled “Ocwen” the number 1 and 2 search results were complaint sites.
If you enjoyed this post, make sure you subscribe to my RSS feed!
One of the most frustrating things in providing foreclosure assistance to homeowners who are behind on payments and want to keep their homes is dealing with people who won’t act in their own best interest.
If you enjoyed this post, make sure you subscribe to my RSS feed!