|Mortgage Refinance Information|
If you as an investor understand the process, you will be able to help more people!
Foreclosure is tuff on folks it's all about losing!
Your customer loses their home and the lender loses money!
If you can get your focus going in the right direction, you can create a Win - Win scenario for all involved.
Writer and philosopher Johann Wolfgang von Goethe said, "Kindness is the golden chain by which society is bound together."
You need to act fast as an investor when dealing with people in foreclosure and one of the most difficult areas of this process is getting the property owner to act.
The longer they wait to act, the less time you will have.
When people face financial distress they feel powerless and confused, many in foreclosure spend too much precious time denying their predicament until the last minute when only the most extreme of remedies remain available.
Keep in mind that you will need to avoid to long of a foreclosure delay as the cost will mount up and may just drive you out of profit range.
It is vital that you help your customer to respond to any legal notice or document and assemble a delay strategy(s) immediately.
Many property owners facing foreclosure end up declaring bankruptcy as a solution to their foreclosure problem because:
* They see no way out
Many believe that bankruptcy will stop their foreclosure and everything will be ok.
Many attorneys do not tell property owners that bankruptcy will only drive up the foreclosure cost. Simply put foreclosure solutions are not well understood.
Over ninety percent of bankruptcy attorneys don't handle alternative workout programs such as:
* Straight Sale
Therefore, even though the attorneys may come across as knowledgeable and educated, their final advice on how to save a home is to tell people to declare bankruptcy.
Bankruptcy can be the right solution for some homeowners who are trying to save their home.
However, it is far from the number one choice. In fact, it should be the last resort. In talking to a bankruptcy attorney, one is led to believe that bankruptcy is the best and only choice.
Your major strategy as an investor is "buying time".
If your customer goes straight to bankruptcy, all other options that could have bought time have been bypassed and are no longer available.
Having done that, if there are any problems making the Chapter 13 payments, there are very few options left. In addition, it may have been possible to get a work out solution approved instead that solved the situation without bankruptcy. This would also be a much better solution as far as saving credit.
Most people don't realize how damaging a bankruptcy or foreclosure is to their credit until it's too late. It is something that can follow a person for a very long time.
You will find that in most cases, people will contact you at what I call the too late stage, because their back is up against a wall and the auction is the next day or even the same day. In these cases, you as an investor have the option to bring the loan current and take control of the property or assist your customer in filing a bankruptcy to stop the sale.
This is done only to buy time, and the homeowner doesn't actually follow through with their court appointments and filings and lets the bankruptcy "fall off calendar" (it never actually goes through).
Many of your customers will be in denial that they are about to loose their home, they will tell you it's all worked out, they are not in foreclosure, they did not know and the list goes on.
It's your job to get them to face the facts and how you can help them as an investor.
Now how do you deal with them, how to approach them and how to talk to them during this most difficult time?
My first step in the communication process is to send a letter to let them know I'm available to help.
The homeowner is probably being bombarded with letters, calls from attorneys and bill collectors, and has creditors showing up at his door.
The only way to contact the homeowner is by telephone, mail or in person, and chances are you will have a difficult time getting in touch with him.
Start with mailings. Indicate in your letter that you are a private investor looking for property in that part of town.
Let the property owner know that you may be able to help him with his financial problems.
Demonstrating an understanding, the homeowner's dilemma will help your efforts.
Indicate in your letter that you may be able to stop the foreclosure, save his credit rating and provide cash for use in paying his bills and/or for relocating.
Be professional and gracious in your correspondence.
Invite the homeowner to call you at his convenience.
If you are going to make an offer on the property, you must have the loan, ownership, and debt or lien information.
You must also assess the condition of the property and the property owner.
Combined with the market value and the default amount, you have all the ingredients necessary to formulate your offer.
If you feel comfortable with it, you can visit the property in person.
You may be confronted by an angry homeowner.
Be polite and leave if you are asked to.
Never, under any circumstance, snoop around, inspect or generally trespass unlawfully on somebody's property.
Use common sense and dress appropriately when meeting with the homeowner, something casual but not sloppy. Do not drive up in an expensive vehicle, as the homeowner will see you just like they see the lender as someone who is taking advantage of them!
* Does the homeowner need cash?
Find out the facts.
* Review the loan and mortgage documents.
I look at investing as a mechanic - the more tools you have the more you can do - The more investing tools you have in your investors tool box the more people you can help.
"You will never do anything in this world without courage. It is the greatest quality of the mind next to honor." By Aristotle, Greek Philosopher
What is a Homeowner Loan?
If you are a homeowner, it couldn't be easier to apply for a Homeowner or Secured loan.
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For many seniors in or entering retirement, the prospect of purchasing long-term care, investments or annuities can be cut short by a lack of retirement income. Statistics show that 3 out 4 seniors will have to lower their current standard of living during retirement. Social Security, IRA's, 401k's, and other methods of retirement income usually provide enough income for living expenses and recreational activities, but do not leave much room to improve your financial future. A Reverse Mortgage is an increasingly popular solution for increasing income, and large amount of tax-free funds to safely move into investments and securities.
Sub-Prime Mortgage Loans - Things You Should Know About Sub-Prime Mortgages
Sub-prime mortgages are not that much different from average mortgages. They have interest rates, points, and fees. They can be compared online, and they have seasonal trends. The only real difference is that as a borrower with a less than stellar credit record, you will have to pay a slightly higher rate for the lender's increased risk. What is important is that you prepare yourself with information about sub-prime mortgages and compare lending companies to make sure you get the best deal.
How Homeowner Can Save Their Home From Foreclosure
Drive around and see how many signs you see that says House for Sale. How many lease purchases do you see? How many abandon houses are on your street? Our country is up against the wall with delinquence mortgages. FHA mortgage lenders are filing claims in the millions from HUD. How do I know? I counsel homeowners every month concerning their mortgage and what they need to do to protect their property and communicate with their mortgage lender.
10 Questions To Ask Your Mortgage Rep or Banke
This post is a must read for anyone considering purchasing a home be it today, tomorrow or next year. It is sound advice.
Home Equity Loans in Texas
A few notes of importance: This only applies to a homestead property, that is the customers primary residence LTV refers to Loan to Value, meaning the loan amount as compared to the value of the home. As an example, a loan of $75,000 on a home valued at $100,000 would be a loan at 75% LTV. These specifics only apply to Texas cash out loans in the State of Texas - obvious, but I had to put it in here. Although the actual Texas Cash Out Laws in Texas have not had any "major" modifications in the last few years, there have been minor adjustments made, that does not mean that future changes will not occur.
Home Mortgages: How About Those 1.75% Loans?
You've undoubtedly heard or seen ads for mortgages with very low interest rates such as 1.75%. For example, one mortgage company in the city where I live is advertising a 40-year mortgage with a 1.75% interest rate. That sounds like a pretty good deal, doesn't it? After all, if you were to buy a house for $250,000 with this rate, your payment (not including taxes and insurance) would be only $632 a month.
Home Equity Can Create a Never-ending Money Cycle
What could you do with $10,000? Well, you can have it, now in a new home equity loan! Did you know that if you have been in your home for just one full year, you may already have the opportunity to take out huge dollars in equity from your home -- tens of thousands, even! Did you also know that you can get this money with no closing costs, use it any way you like, and, best of all, it will cost you as little as the price of your cable bill each month, and you can create an amazing money cycle that will give you an endless supply of cash.
A Guide to Getting Bad Credit Home Improvement Loans
You might be wanting to look into bad credit home improvement loans but are unsure of where to start. After all, how do you get a good loan when your credit isn't the greatest?
Home Equity Loan ? Beware of the lingering lien!
A problem that often arises when people try to refinance their home is the discovery of a pre-existing lien from a previous loan that was not removed by the lending company. The cost of removing a lien and returning the title to the homeowner, a process known as reconveyance, is usually included in fees associated with a home equity loan. When the loan is paid off, the lender is generally responsible for removing the lien, so that public records show the property to be unencumbered. There are various reasons for why the lien isn't always removed ? oversight on the part of the lender, especially during heavy periods of refinancing, is often the problem. Occasionally, the problem can arise when a lender is sold to another company or when that lender goes out of business. No matter what the cause, a lien that hasn't been removed can come back to haunt a homeowner. If a homeowner is in the process of refinancing a home and discovers an old lien that hasn't been removed, the entire refinancing process can be held up for weeks. This can be critical if the owner is trying to lock in an interest rate prior to closing. The problem can also arise when a homeowner is trying to take out another home equity loan, perhaps to facilitate debt consolidation or home improvements. Here are a few things you can do to avoid this problem: Get a copy of your credit report. If there are any errors, particularly errors showing an open line of credit or a home equity loan that has been paid off, contact your lender. Keep your paperwork from all real estate loans, even if you have already paid them off. Then you will have them at hand should you need to demonstrate that you have fulfilled your obligations. If the lien shows up on public records or a credit report, but the original lender says that you have paid it, have them send you a copy of their documentation regarding your reconveyance.As with most issues that come up when financing or refinancing a home, this one can be resolved by remaining diligent and keeping proper paperwork. As always, it's a good idea to check your credit report regularly, particularly if you plan on taking out a loan in the near future.
Flexible Mortgage Tips
Outlined below are some useful flexible mortgage tips. The most prominent addition in recent years to the mortgage industry has been the flexible mortgage. As the name implies, it offers greater flexibility than the traditional mortgage.
Homes, To B(uy) or Not to B(uy)
Whether you are just moving out on your own for the first time, or you've moved ten times before, there is always a big choice to make. Do you rent or buy your home? There are valid arguments on both sides, and in different scenarios either one could be the right choice. When you start looking into your next, and possibly final living space, there are a number of things you should consider.
Home Loans: Where Do I Begin?
So you've finally decided you've had enough of paying rent and want to jump into home ownership. Well you've got your work cut out for you. Plumbing problems are now your responsibility, not your landlord's. A nice, clean yard is also your responsibility, not your landlord's. The air-conditioning goes out in August, who do you call. Not the landlord, you're now responsible. Yep - a lot of work.
Need a Mortgage, Refinance or Equity Loan? Learn What it Takes, Before Applying
Do you know what it takes to qualify for mortgage and refinance loans? There are several factors involved with qualifying for a purchase, refinance or equity line of credit, and having an in-depth understanding of these could make the difference in you being accepted or turned down by a bank loan officer.
An Infinity Mortgage?
Here in Spain the concept of a mortgage period of 20 or 25 years is something new. The general feeling by the banks is that want their money back more quickly than banks in countries in which they are accustomed to longer periods. The borrowers are also accustomed to the idea that the guiding principle is to pay off the mortgage as quickly as possible.
If you want a low interest, low payment mortgage refinance, refinancing online could be the answer. There are many mortgage companies who specialize in mortgage refinancing online. No matter what your credit history, you can refinance your mortgage online and potentially save thousands of dollars in interest on your loan. With interest rates being at a historical low level, customers expect great rates and low payments from mortgage lenders. Online lenders can offer you free quotes and low interest rates when you apply for a mortgage refinance loan online.
Home Loans for Credit Challenged Borrowers
Just because you have negative items on your credit report doesn't mean you can't obtain a home mortgage loan. There are options for you. Bad credit is not the end of the world. It's true that getting a bad credit mortgage loan is not always the easiest or fastest mortgage loan out there, but you can still buy your own home even with bad credit.
How To Tap In To Your Home Equity
With today's relatively low interest rates and climbing property values, many consumers are considering taping into their home equity to finance everything from home improvement projects to debt consolidation.
Adverse Credit Mortgage Loan - Persistence is the Key to Getting Approved
People with bad credit that are looking to get a home mortgage loan or to refinance their existing home mortgage loan, know how difficult of a job it can be to try and get approved. Adverse credit history can mean a little more legwork to get an approval for a mortgage loan, and especially to get a decent interest rate.
Reasons To Get A Home Equity Loan
Using a home equity loan really depends on what your needs, wants and desires are that prompt you to take the home equity loan in the first place.
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|Mortgage Refinance Sources 2005|