Do Loan Modifications Really Work For California Homeowners?

Posted on Oct 19, 2012 in Roseville and Sacramento Short Sale FAQs

Hello everyone my name is Mark Peek with Keller Williams Realty, your Roseville and Sacramento short sale specialist, thank you for your time today. I work with distressed property owners in the Roseville and Sacramento area every day and use this blog to share important information on the numerous options available to homeowners for avoiding foreclosure. If you are currently behind on your mortgage payments or have seen the value of your home greatly diminished take a minute to browse through my website or call my office today to chat with an expert about your best options.

For my blog today I wanted to chat with Roseville and Sacramento homeowners about loan modifications and some statistics I have put together to show how they can help. In 2009 the government launched a campaign called Making Homes Affordable that was put in place to help distressed homeowners stay in their homes with lower monthly payments. Since 2009 there have been nearly two million loan modifications attempted with numerous different results. Unfortunately an astounding forty one percent of those applicants canceled there loan modification trial. These cancelations were due to homeowners either defaulting on their mortgage, not qualifying for the loan modification, or not meeting the debt to income ratios. Out of all these applicants roughly forty three percent were approved for a permanent loan modification since 2009. However, out of that group an incredible fifty percent had to cancel due to a default on their mortgage. In my opinion this just goes to show how inefficient this option is and why a short sale may be a better option.

While a short sale doesn’t allow you to stay in your home it can save you time and protect your credit compared to foreclosure. To learn more about the short sale process please fill out a contact form on my website or call me directly to discuss your options for avoiding foreclosure. Thank you for your time today and I look forward to hearing from you soon at Keller Williams Realty in Roseville and Sacramento.

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How Long Should You Wait To Hear Back On Your Loan Modification Application

Posted on Dec 5, 2011 in Roseville and Sacramento Short Sale FAQs

Hi, this is Mark Peek at Keller William’s Real Estate, your short sale specialist in the Roseville and Sacramento area. A lot of people have contacted me recently with questions about loan modifications, how long they should wait to apply for one, or if they should just do a short sale.

Several of the people that I have talked to are making attempts right now to make their payments even after being approved for a loan modification, however many of them are still behind on their payments. One of the common things I am hearing is that an individual will submit their application package for a loan modification and typically won’t get anywhere with it. They are essentially spinning their wheels waiting for an answer from the bank. If they never hear anything back from the bank, after 90 days of being delinquent, the bank will tell them they can’t approve the loan modification because they have been delinquent too long. Some banks won’t even have the common courtesy to tell you that you haven’t been approved for the loan modification, causing you to become further and further behind in your payments.

The danger with a loan modification is that with some investors, such as Fannie Mae and Freddie Mac, if you are more than 12 months delinquent and you have a foreclosure sale date, they will not postpone it. If you want to give yourself a different opportunity other than a loan modification or foreclosure, you should consider a short sale. The closer you get to foreclosure and your foreclosure sale date, the harder it’s going to be to get your short sale approved.

A short sale can provide you with many benefits such as salvaging your credit and providing you with the opportunity to negotiate with the bank. Please let me know what specific questions you have regarding your situation and how I can be of service to you. I am here to assist you in avoiding foreclosure, saving your credit and short selling your home.

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