Loan Modifications – Are the Banks Really doing them…?
I got a chuckle out of this article in Sunday’s Sacramento Bee….
Because…..? Again when it comes to real estate news, all you have to do is speak with any Real Estate Professional that is “active” in the business and you will most likely feel that you’ve heard these stories before.
For the last 18 months or so I have been working with Titanium Solutions as an HRC… “Home Retention Consultant” . What Titanium does is hire Real Estate Brokers and Agents to make contact with Homeowners who are behind on their mortgages.
Our assignment is to get them back in contact with their Lender to either help them work out a “Short Sale” or a “loan modification”. We get a small fee for making these contacts and in addition if the owners can not make further payments or they’ve elected to “walk away”, we’re then encouraged to take a “short sale” listing. In the real estate business we call that “a lead”.
The Banks Don’t Want the House Back.
That’s the message we got in the HRC training we all had to go through. I have noticed recently, when speaking with homeowners, that it seems while the “lenders” are pursuing modifications, they don’t seem to be really approving any permanently.
More than one homeowner told me that they had “sent all the paper work” in weeks ago and were somewhat stunned that I was at their door looking to get the same information they had already sent in. One of them told me of being on a “trial modification” for almost 6 months.
On one occasion I went to a home that had been listed since last August and was in the middle of the “short sale process”.
I have also spoken to some friends regarding real estate and the subject of “loan modifications” has come up. In those cases I heard the exact same thing. Two of them had been on “trial modifications” for 4 – 6 months. They get requests from the Lenders for some of the same paper work that they had already sent in. It seems to be a “never ending process” according to my friends in this situation.
Loan Modificiation Bottom Line…..?
In my opinion, just hang in there and work with your Lender…. because..? I believe eventually.., as the SacBee article states, they will get it right.
However……As Dennis Miller might say on Saturday Night Live… “I could be wrong”….
Make it a Great Day
Ed Favinger – 916-203-1260 Mobile, favinger@rwnetwork.com
Great info!
There was a speaker at the Realty World convention who mentioned his law firm specializes in loan modifications. Have you heard of anyone going the lawyer route? If so, any success?
I remember that group… but their main focus was on assistance in Short Sales. I haven’t heard of anyone getting a permanent modification approved with the help of an attorney.