The Foreclosure Report !!

Pros and Cons of Short Sales, Foreclosures, Bankruptcies

Short Sale:

Pro: Allows the alleged lender to recover at least some of the debt.

Pro: Give the borrowers personal and moral satisfaction feeling he has done the best he can.

Con: If it is not a personal residence, the borrower could be subject to taxation on the amount forgiven.

Con: Typically is not enough to pay the first mortgage in full. Seconds still out could have judicial recourse.

Con: Takes a lot of work and agreement by the lender.

Con: The borrower cannot buy another house for two years.

Foreclosure:

Pro: Don’t have to do anything, just walk away.

Con: Will prevent the borrower from getting a real estate mortgage for seven years.

Con: An unsecured second lender could sue for judgment.

Bankruptcy:

Pro: Chapter 7 is a way to cancel credit card and all other debt and avoid foreclosure.

Con: May lose certain personal assets such as expensive cars and jewelry.

Con: Name is published in the newspaper; send of shame

Con: The cost (attorney costs, $1,000 and up, filing costs, about $300)

Con: Can only be declared once every eight years.

Con: May still use credit cards, but have to pay in full every month.

A short sale is when a home is sold for less than the amount the homeowner allegedly owes the bank. The transaction requires the bank’s approval and a buyer but is one way to avoid foreclosure or bankruptcy.

Bankruptcies and pre-foreclosure notices have more than doubled and more then tripled in many areas. Seems it’s a losing situation all around.

Before going down the road toward short sale, foreclosure, or even bankruptcy consider this report and do the research for yourself, and see if there is better solution to rectify this situation.

************************

PART I

FORECLOSURE – The end of the American Dream – Or is it?

Some borrowers sign their closing documents very reluctantly knowing that something is wrong, but not knowing what to do about it.  Based on Federal and State Consumer Protection Laws, this Report could be a borrower's best defensive weapon against unfair and deceptive lending practices.

The simple truth is that most borrowers are victims of predatory lending and don't realize they've been taken advantage of.  Can borrowers legally turn the tables on predatory lenders?  Yes...Absolutely!  Anyone with a mortgage should take advantage of the information found in this Report.

There is no doubt that Predatory Lending has become a critical problem. In fact, discrepancies are found in around 70% of mortgages audited. Your goal and ours is to expose “Lending Schemes” and “Unjust Enrichment” in mortgage documents.

In January of 2008, this Mortgage Meltdown of foreclosures was up 57%, and foreclosure filings saw yet another big jump throughout the year, compared to levels in the prior year; 45,327 homes were lost to bank repossessions.

Nevada, California and Florida had the highest foreclosure rates in the nation in 2008. During the housing boom, all three states recorded big price run-ups, and saw a large proportion of homes sold to investors. In Nevada, one of every 167 homes was in some foreclosure stage during a certain month. California had the largest total number of foreclosures among the states. There were more than 57,000 foreclosure filings there in January of 2008 and higher this year, one for every 227 homes. Florida trailed well back in total foreclosures with 30,000, but its rate of one for every 273 households was only slightly behind its West Coast rival. Several states recorded massive jumps in foreclosure activity in the last twelve months. In Rhode Island filings rose 279%; in Maryland they spiked 430%; and in Virginia they leapt 634%. Las Vegas tops foreclosure list.

Many borrowers seem to come to us with a range of reasons and mentalities. Some have a gut feeling that something is wrong with their mortgage. We have seen Clients who have personal relationships with their broker or lender and can’t believe that they’ve been put into a bad loan.

Mortgage documents are difficult to understand. It takes auditors a long time to become proficient at what they do. Regardless of your situation, every mortgage borrower should get a Mortgage Audit, especially if your mortgage is less than 3 years old or threatened with Foreclosure.

We pay close attention to all types of mainstream media news clips regarding predatory lending and foreclosures. When foreclosures are mentioned, all that we seem to hear about is the inability of borrowers to pay their adjustable rate mortgages. Do we ever hear about the fault being with the Lenders? Is it possible that we are seeing so many foreclosures because borrowers are being set-up to fail?

When Predatory Lending is mentioned, there usually seems to be an agenda. That agenda more than likely is to get you into another loan. We don’t agree with that as an initial solution. Refinancing can setback borrowers with prepayment penalties and additional broker fees. What makes it worst with this re-fi scenario is that Lenders are not held accountable for their actions.

We do not recommend Mortgage Brokers or Lenders to our Clients. We are determined to protect Borrowers. We’re certain that Predatory Lenders are fearful of us. Honest Lenders should welcome our services and appreciate us weeding out the bad ones. We take pride in the positive comments we get regarding the approach we take.

How would you feel if you were a victim of Predatory Lending? For many, just the thought of being deceived or victimized can cause stress and anxiety.

Continue on to Part 2...

Home | Products | Foreclosure Remedy | Notary Portal | Links | E-mail