Blogs - Fighting-Foreclosure

The Mortgage Forgiveness Debt Relief Act - What it means if you foreclose or short sale..

What it is - a way not to pay tax on the difference between what you owe and what the bank accepted either on a short sale or foreclosure. Your lender calculates the difference between what you owe and the short sale or foreclosed price obtained at the sheriff's sale and calls it a GIFT to you. They will send out a 1099-C form, Cancellation of Debt, by January 21, 2008. You, in turn, file form 982 to exclude this "gift" up to $2 million dollars as long as it is your principal residence. In ta… Continue

Added by JoAnne Mercedes on December 11, 2008 at 1:04pm — No Comments

Hope for Homeowners - H4H Program - do you qualify?

The HOPE for Homeowners (H4H) program was created by Congress to help those at risk of default and foreclosure refinance into more affordable, sustainable loans. The program is effective from October 1, 2008 to September 30, 2011. Lenders will assess their portfolio and perform a cost-benefit analysis to determine if they will offer this program to struggling homeowners. They (lenders) will take a loss on the diference between the existing loan and the new loan, with is set at 90% of the curren… Continue

Added by JoAnne Mercedes on December 1, 2008 at 8:00am — No Comments

Why Agents Recommend Short Sales

You'll hear the myth over and over: "Short sale protects your credit." It's simply not true. Your credit will tank whether you do a short sale or a foreclosure. Experts say agents who repeat that mantra do so out of ignorance or self interest, take your pick. A short sale will ruin your credit rating. It might not happen right away, but sooner or later, unless the bank has specifically agreed not to report the shortage, the bank will report it as a Score Factor Code 22. That score factor relate… Continue

Added by JoAnne Mercedes on November 12, 2008 at 4:38pm — No Comments

Waiting Period before Buying Another Home if you've Short Sale'd or Foreclosed

* Foreclosure or Deed-in-Lieu of Foreclosure Steep says a seller who wants to buy another home after foreclosure will end up waiting about 24 to 72 months before a lender will offer any kind of interest rate that makes sense. Coy says, "The good news is a short sale will allow the consumer to obtain an institutional loan for a new home within two years". * Short Sale Some agents say the good news for short sale sellers is the wait is much shorter before buying another home, and… Continue

Added by JoAnne Mercedes on November 12, 2008 at 4:17pm — No Comments

FIOS Credit Score - Difference between Short Sale & Foreclosre

How is the Seller's Credit Affected? According to David Steep, division manager at Vitek Mortgage, sellers will take as big a hit on their credit report by going through foreclosure as giving the lender a deed-in-lieu of foreclosure. Steep says the points lost on a FICO score are as follows: * Foreclosure or Deed-in-Lieu of Foreclosure Both of these solutions affect credit the same. Sellers will take a hit of 200 to 300 points, depending on overall condition of credit. This means if a seller's… Continue

Added by JoAnne Mercedes on November 12, 2008 at 4:16pm — No Comments

HOA Dues???

Pay your HOA dues - unlike the property taxes they don't stay with the home! Your HOA can actually foreclose on your property and force a sale - just like the bank. They can also take you to court and get a judgement that will follow you forever. After the judgement you have 30 days to pay. If you do not pay the Creditor (your HOA) may take steps to collect or execute the Judgment including: 1. Seizing personal property or assets 2. Filing a lien against real property 3. Filing an income execut… Continue

Added by JoAnne Mercedes on October 29, 2008 at 9:54am — No Comments

What about the taxes?????

Is my property subject to 180 day accelerated foreclosure? If your property is part of a Mello-Roos District (Community Facilities District), a 1915 Act Assessment District, or certain other special financing districts, your home is most likely subject to accelerated foreclosure. While the County must wait for five years to foreclose on a property because of delinquent taxes, Mello-Roos and Assessment districts can begin foreclosure proceedings 150-180 days after one of their tax charges become… Continue

Added by JoAnne Mercedes on October 29, 2008 at 9:22am — No Comments

Countrywide's Loan Modification Phone#

If your mortgage is through Countrywide, call 800-669-0102 Continue

Added by JoAnne Mercedes on October 29, 2008 at 9:06am — No Comments

Free Help to re-negotiate your mortgage.

The Neighborhood Assistance Corporation of America (NACA) is a non-profit community advocacy and HUD certified counseling agency. NACA is an option for: Homeowners - make an unaffordable mortgage payment affordable Homebuyers - Access NACA's Best in America Mortgage Advocates - Participate in NACA's aggressive advocacy campaigns To qualify: The home must be your primary residence and you cannot own any other homes. Continue

Added by JoAnne Mercedes on October 29, 2008 at 9:00am — No Comments

Wells Fargo Bulletin

Wells Fargo is reaching out to it's customers. They are offering: 1) an extension or deferral, that may give you more time to repay your loan. 2) a modification to your original loan or line of credit, that could make your payments more affordable while you are experiencing a hardship. 3) Automatic monthly payments Call Wells Fargo Home Equity ASSIST at 1-888-249-1301 to see if you qualify. Continue

Added by JoAnne Mercedes on October 29, 2008 at 9:00am — No Comments

Californians, know your rights!

The California Loan Modification Law - California Civil Code Section 2923.6 became law on September 8, 2008. This new law required lenders to contact homeowners before immediately filing any foreclosure notices. In these series of attempts, the lender may discuss the option of loan modificaitons which can involve rate reductions or principal reductions. The new law states they must contact homeowners, but provides no guarantee that loan modifications will be made. Here's a few tips: 1. Call yo… Continue

Added by JoAnne Mercedes on October 29, 2008 at 8:46am — No Comments

Countrywide and bank of america - is there hope on the horizon?

Countrywide, as well as other lenders, have a loan modification department. If you are behind on your mortgage payments, or have difficulty making your payments, it may be wise to contact them. You no longer have to be behind in your mortgage payments to qualify for a loan modification. The qualifications are: 1) It is your primary residence 2) You have an ARM (Adjustable Rate Mortgage) or a NAM (Negative Amortization Mortgage). The lender may give you an option to refinance your loan to a 3… Continue

Added by JoAnne Mercedes on October 29, 2008 at 8:45am — No Comments

Buyer Beware!

You may receive mail with the heading "The Mortgage Forgiveness debt relief act of 2007", and asking "if you are current on your mortgage payments or know someone who needs help". The title may have you think that the government has come up with some program to forgive you debt - but don't be fooled. So, what is the Mortgage Forgiveness Debt Relief Act? Generally, the Act allows exclusion of income realized as a result of modification of the terms of the mortgage, or foreclosure on your princi… Continue

Added by JoAnne Mercedes on October 29, 2008 at 8:30am — No Comments

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