Fannie and Freddie to Announce Mass Loan Modification Program

From the Wall Street Journal: Fannie Mae, Freddie Mac and U.S. officials are expected to announce plans Tuesday to speed up the modification of hundreds of thousands of loans held by the housing finance giants, marking the latest effort to try and prevent more foreclosures, people familiar with the matter said. The announcement could mark […]

Loan Modifications

This is Part Three of a series of articles on the foreclosure process. This article does not constitute legal advice. Foreclosure laws vary from state to state. Homeowners in financial distress should always hire legal counsel. Call your local state bar association for a referral.  Reduced or free legal aid may be available in some states. Ask […]

What should a loan modification look like?

I just wrote this long comment on Jillayne’s post, and decided it needed to be a post of its own.  This loan mod returns the risk premium that was not effective at controlling risk.  It didn’t work…give it back. It also makes the lender partly responsible for approving short term income on a long term […]

Options for Homeowners Facing Foreclosure

This is Part Two of a series of articles on the foreclosure process. This article does not constitute legal advice. Foreclosure laws vary from state to state. Homeowners in financial distress should always hire legal counsel. Call your local state bar association for a referral.  Reduced or free legal aid may be available in some states. […]

Are you ready for FEMA Mortgage?

Congress and Treasury Secretary Hank Paulson are working this weekend to hash out details of the proposed $700,000,000,000 bailout during this amazing time in American history.  My brother-in-law is an adjuster for FEMA, spending months away from his home evaluating damaged property across the country.   FEMA Mortgage could be created to essentially do the same thing. Now that Uncle Sam […]

Predatory Upfront Loan Modification Fees

I’m troubled by a trend that I’m seeing.  Recently I’ve noticed that mortgage brokers/loan originators have become interested in learning about loss mitigation techniques. When I ask why, they say that they’re hearing there’s good money to be made doing loan modifications.  What? Wait a second. I thought loan modifications were done by the lender for free. More and […]