Let me say this…. again…. Do not assume you can get a loan modification. More often than not you will not be eligible. I know your momma told you… “If it seems to good to be true it probably is.” Well, now I am saying it.
Today I learned of ANOTHER friend who has been fighting foreclosure, barely hanging on. I wrote of something similar back in 2009 when a friend lost a family home in foreclosure (See that post here).
In this 2012 case, these people knew of a friend of a friend who got a loan modification when he was behind in his mortgage. The friend got a principle write down and reduced his payments. But this simply does not happen for everyone. Perhaps you have heard of foreclosures in the news recently?
Here’s what happens… without understanding the parameters for a loan modification or principle write down, people listen to rumors – usually from people who don’t know what they are talking about. The people deliberately fall behind on their payments, and apply for help. Their lender goes through the motions. Months later the people get a notice that the lender is NOT going to approve any modification and there is no help available…. and oh, by the way, pay your past due mortgage within 5 days or we’re foreclosing.
So, if they can’t come up with 6 months worth of payments in 5 days, they lose their home.
I wish my friends would tell me when they are in trouble. I understand it’s a matter of pride. But, FRIENDS… I *get* this. It’s my business. I understand these programs better than most and can help you review your options… the least of which is foreclosure. And, every conversation we have is completely confidential. I will not repeat it to our other friends. I am not allowed, and I wouldn’t do it anyway.
Let me give you some resources, since you are apparently not going to call me and tell me your story – even if I beg. (And I am begging here.)
- For most programs, if your loan is not owned by Freddie Mac or Fannie Mae, you’re not likely to be eligible for any kind of government program. Very few people actually know if their loan is Freddie or Fannie owned. So, how do you know if your loan is a Freddie or Fannie loan? Check this link.
- To learn more about the programs that are available through the Making Home Affordable program, (this the “Obama” plan you’re all talking about) go to this web site: http://www.makinghomeaffordable.gov/programs/view-all-programs/Pages/default.aspx
- Call a MHA expert at 888-995-HOPE (4673)….these are HUD approved counselors who can take your information and help you find out if you meet the basic requirements for a loan modification or other program that might be helpful.
Unfortunately, what most people find out is that it’s a lot of talk but not a lot of help. Sure, there are some that are helped through it. But, not most.
If you are going to go to a friend for help, please, come to me. If I don’t know the answer, I will try to get you the answer. And, I will not circulate bad information. The number one problem in my business is misinformation regurgitated; even by “professionals”.
If you’re brave enough… come forward. Tell me your story. Let’s talk about options. I will help you. It’s what I do.
Please, let me say it one more time.. With me, you’ve got a friend in the business. How would you feel if your friends desperately needed help but refused to come to you to ask for it? It makes me feel lousy. So, send an email, pick up the phone…contact me today. At least give me a chance to try.
PS – Strangers reading this blog can call me too.