Tag Archives: loan modification
Six Million Final Stage Foreclosures In America by 2014
In the United States, a Bank Repossession of a home is the last part of the foreclosure procedure that usually involves three foreclosure notices. This is typically the stage at which a struggling homeowner is forced onto the street. When the media reports on a certain amount of foreclosure cases in a particular month, this figure includes cases that are in any of the three stages of the foreclosure process.
A reputable source of information on foreclosures in America that is found in the public domain takes the form of RealtyTrac. RealtyTrac collects and organizes data on foreclosure filings that occur at a local level throughout the country. Detailed reports on foreclosures are released by them at a fee, although it does release limited amounts of information at no cost which are provided to various media outlets.
Foreclosure Statistics so Far
There are at this time no governmental agencies that report on the massive extent of damage suffered by the housing market as a result of the questionable tactics employed on the part of Fannie and Freddie, along with Wall Street. Since the beginning of 2005, an alarming 3.7 million families have been forced onto the street. Considering an average of 2.3 people per family, that translates into approximately 8.5 million Americans who have lost their homes. It will indeed take some years yet for the full impact of the greed and corruption that has severely damaged the housing market to be fully witnessed and comprehended.
Foreclosure Numbers Expected to Rise – Based on independent research of RealtyTrac figures, it has been estimated that as many as six million households will suffer the loss of their homes before the worst of the housing crisis has come and gone. It’s nearly impossible to understand the awful level of personal tragedy represented by these kinds of statistics if one has not been personally affected by it.
Due to the backlogs present in foreclosure procedures and the delays involved in the filing process (it took an average of 150 days to resolve one foreclosure case in 2007), we can be certain that comprehensive foreclosure figures are sure to rise in the few years that lie ahead.
Loan modification process
The loan modification process, if undertaken responsibly and with an informed approach, is able to provide families with real hope in their efforts to hold on to homes that are precious to them for many valid and understandable reasons. If only there was a way to ensure that people had access to truthful information and expert guidance as they explore the loan modification process.
Some of the things that a loan modification applicant should be aware of is whether or not they are pre-qualified financially, and how best to prepare their loan modification package. We do not provide advice as to whether or not pursuing loan modification represents the best course of action in a specific situation. We view our role as informing prospective applicants of the possible outcomes if they are intent on heading down that path. Knowing your potential qualification chances is critical, and since banks opt to keep that secret, we are committed to making that knowledge available to you. This empowers you. You have a right to know where you stand from the get go.
For more information on how to best qualify for a loan modification, please visit
New Steps Towards Conclusion Of Loan Modification
The Obama government is now putting pressure on the mortgage firms to speed up the process of confirming the mortgage loan modification procedure for the numerous homeowners. Many applicants have criticized that banks and lenders are beating about the bush. They are not responding to the calls and applications from homeowners. The companies are losing their paperwork, or delaying evaluations.
The treasury department has initiated some new measures to speed up the loan modification procedure. Lenders are required file their attempts to finalize the loan modifications of homeowners who have accomplished the three-month trial period. Also, the department has asked the lenders to put up new resources to help new homeowners who want apply for home loan modification. More than 650,000 homeowners started with the Obama Home Affordability program. However, very few of these homeowners have shifted to the permanent program, despite the fact that they have successfully completed the ninety-day trial period. The administration is making every effort possible to accommodate the homeowners who have recently applied for mortgage modification to stop foreclosure.
Mortgage firms are required to submit a report on the homeowners who are on the verge of completion of their trail period, and a schedule to transfer the successful cases onto a permanent scheme. The service providers are also obligated to submit to the treasury department documents supporting the same, and inform their decisions to the respective homeowners. Lenders who participated in the program, but fail to meet the requisites may be penalized.
The home loan modification program came into effect in March, 2009. The government had pledged $75 billion into the project. Already, $30 billion has been invested. The plan focuses on lower mortgage payments, and save home of every possible homeowner in distress. Interest rates were reduced awfully low, and monthly installments were brought down to less than 31 percent of the monthly income of an individual. These adjustments will be made permanent once the homeowner is current on the loan for the three-month trial period. However, there are extensive complaints of homeowners being asked to verify their documents again and again. On the other hand, lenders have reported that they are overwhelmed by the response and hence, unable to keep track of the proceedings.
To help mortgage firms speed up the loan modification process, the administration said it will work with them to set more rigorous performance measures, such as average waiting time for borrowers, document management, and response time for successful applications.