Post by lora001 on Oct 8, 2010 14:11:08 GMT -5
In some states, property values are down so much that foreclosed properties lost as much as 70% of their value. Some mortgage lenders seem to fail either to take the ownership or get the houses sold on sheriff auctions as they do not expect the foreclosed property to fetch much in a sale. Surprised evicted borrowers find that they still own those properties after a few years and now facing huge local taxes and penalties.
These occurrences indicate that many lenders would have preferred the borrower stay in those homes and pay however little mortgage they can. For obvious reasons, lenders would never come out and say that. For one, that would lead to a surge in loan modification requests and it would not be fair on the homeowners who are working hard to pay their mortgages.
Considering every loan modification is judged on their own merit and a lot depends on the borrower and bank officer who is deciding on loan modification, it is very much likely that some applicants could walk away with considerable loan and mortgage rate reductions. Clearly, no matter how willing a lender is, they will not just give away those loan and mortgage rate modifications.
Loan modification applicants will have to be able to estimate what they can get and know how they can get. Overall, there is a good case for struggling homeowners to get a mortgage modification and stay in their home, especially in areas where house prices has had a hard hit. While some deserving homeowners fail to see this option, many quick thinking homeowners knowingly default on their mortgage to be able to apply for mortgage loan modification.
When you can not see your way out unless your mortgage payments reduced considerably, at least in line with the current rates, you might as well make your case to a loan modification officer of your existing lender. In worst case, you could state your circumstances and the amount of mortgage you could manage to pay every month within reasons and see if they will find you sincere and they will be willing to take a cut on the mortgage and monthly payments.
These occurrences indicate that many lenders would have preferred the borrower stay in those homes and pay however little mortgage they can. For obvious reasons, lenders would never come out and say that. For one, that would lead to a surge in loan modification requests and it would not be fair on the homeowners who are working hard to pay their mortgages.
Considering every loan modification is judged on their own merit and a lot depends on the borrower and bank officer who is deciding on loan modification, it is very much likely that some applicants could walk away with considerable loan and mortgage rate reductions. Clearly, no matter how willing a lender is, they will not just give away those loan and mortgage rate modifications.
Loan modification applicants will have to be able to estimate what they can get and know how they can get. Overall, there is a good case for struggling homeowners to get a mortgage modification and stay in their home, especially in areas where house prices has had a hard hit. While some deserving homeowners fail to see this option, many quick thinking homeowners knowingly default on their mortgage to be able to apply for mortgage loan modification.
When you can not see your way out unless your mortgage payments reduced considerably, at least in line with the current rates, you might as well make your case to a loan modification officer of your existing lender. In worst case, you could state your circumstances and the amount of mortgage you could manage to pay every month within reasons and see if they will find you sincere and they will be willing to take a cut on the mortgage and monthly payments.
:Peven if you begged them...and said that its breaking your back to a point where your new born will be living on the street!!! 
