Comments on: To Mod or Not to Mod? http://www.pruvoices.com/2009/11/to-mod-or-not-to-mod/ Conversations in Real Estate Tue, 27 Jul 2010 15:36:23 -0600 http://wordpress.org/?v=2.9.2 hourly 1 By: Lee Ginsburg http://www.pruvoices.com/2009/11/to-mod-or-not-to-mod/comment-page-1/#comment-1812 Lee Ginsburg Fri, 13 Nov 2009 05:15:44 +0000 http://www.pruvoices.com/?p=2091#comment-1812 Just today a client told me about the same situation. I don't recall which loan mod compayny they used. Basicly no correspondence with the loan mod company and next thing they knew there was an auction date set. They have filed bankruptcy to avoid forelcosure. How Sad! Just today a client told me about the same situation. I don’t recall which loan mod compayny they used. Basicly no correspondence with the loan mod company and next thing they knew there was an auction date set. They have filed bankruptcy to avoid forelcosure. How Sad!

]]> By: Larry Franzella http://www.pruvoices.com/2009/11/to-mod-or-not-to-mod/comment-page-1/#comment-1810 Larry Franzella Thu, 12 Nov 2009 16:26:13 +0000 http://www.pruvoices.com/?p=2091#comment-1810 It is very difficult to know exactly how to advise her without a lot more informationM. Though a great place to start would be with lender. Larry It is very difficult to know exactly how to advise her without a lot more informationM. Though a great place to start would be with lender.

Larry

]]> By: Lee Ginsburg http://www.pruvoices.com/2009/11/to-mod-or-not-to-mod/comment-page-1/#comment-1809 Lee Ginsburg Thu, 12 Nov 2009 05:05:46 +0000 http://www.pruvoices.com/?p=2091#comment-1809 Shookefeh, As Brian said she should contact the lender directly. I do not believe anyone needs these loan mod compainies. As claudia mentinioned she has to be able to make the payments and she also has to show the loss of income from the time she took her loan till now. Many companies have the application online. I would cancel the authoriazation of this company to speak on her behalf. Several of my clients have completed this process sucessfully. I coahced them as if we are doing a Short Sale. Be pleasantly persisitent. They will lose the file, not return calls, ask for information 2 and 3 times but stick it out and she will get it. Being she now only has 90 days Claudia might have the right idea fo listing the property while she persues the short sale. You might wind up working for nothing if the loan mod goes through but I think it might extend the time frame. the other concern that comes up is if she cancels the contract due to the fact she has a loan mod. I think you might have to have an addendum for short sale contingecny and possibly a loan modification contingecy. Good Luck to you and her! Shookefeh,

As Brian said she should contact the lender directly. I do not believe anyone needs these loan mod compainies. As claudia mentinioned she has to be able to make the payments and she also has to show the loss of income from the time she took her loan till now. Many companies have the application online. I would cancel the authoriazation of this company to speak on her behalf. Several of my clients have completed this process sucessfully. I coahced them as if we are doing a Short Sale. Be pleasantly persisitent. They will lose the file, not return calls, ask for information 2 and 3 times but stick it out and she will get it. Being she now only has 90 days Claudia might have the right idea fo listing the property while she persues the short sale. You might wind up working for nothing if the loan mod goes through but I think it might extend the time frame. the other concern that comes up is if she cancels the contract due to the fact she has a loan mod. I think you might have to have an addendum for short sale contingecny and possibly a loan modification contingecy.

Good Luck to you and her!

]]> By: Claudia Tringale http://www.pruvoices.com/2009/11/to-mod-or-not-to-mod/comment-page-1/#comment-1808 Claudia Tringale Thu, 12 Nov 2009 02:12:34 +0000 http://www.pruvoices.com/?p=2091#comment-1808 Dear Shokoofeh, In reply to your loan mod question, as an agent, this is how I would advise your friend... First of all, can she prove her income? Can she demonstrate on paper that she would be able to pay the new modified mortgage payment? If she is self-employed (and especially if she qualified as stated income or no doc on her original loan) then this may be difficult since most self-employed folks (like us Realtors for example), deduct as much as we can on our taxes in an effort to pay less income tax. So, that's the first test. It's been my experience that most lenders will not grant the loan mod if the customer can not demonstrate the ability to handle the new payment. That being said, then I would seriously explore the possibility of doing a short sale. Go over all the BENEFITS of going the short sale route vs. foreclosure. She can continue her loan mod while you list her house. Hopefully, the short sale goes through first (which in many instances it does; and you make your sale and help your client at the same time -- a win-win situation! Best of luck always, Claudia Tringale Realtor & Sr. Mortgage Consultant Real Estate Source, Inc. DRE#01427964 Dear Shokoofeh,

In reply to your loan mod question, as an agent, this is how I would advise your friend… First of all, can she prove her income? Can she demonstrate on paper that she would be able to pay the new modified mortgage payment? If she is self-employed (and especially if she qualified as stated income or no doc on her original loan) then this may be difficult since most self-employed folks (like us Realtors for example), deduct as much as we can on our taxes in an effort to pay less income tax. So, that’s the first test. It’s been my experience that most lenders will not grant the loan mod if the customer can not demonstrate the ability to handle the new payment. That being said, then I would seriously explore the possibility of doing a short sale. Go over all the BENEFITS of going the short sale route vs. foreclosure. She can continue her loan mod while you list her house. Hopefully, the short sale goes through first (which in many instances it does; and you make your sale and help your client at the same time — a win-win situation!

Best of luck always,

Claudia Tringale
Realtor & Sr. Mortgage Consultant
Real Estate Source, Inc.
DRE#01427964

]]> By: Brian Boisson http://www.pruvoices.com/2009/11/to-mod-or-not-to-mod/comment-page-1/#comment-1807 Brian Boisson Wed, 11 Nov 2009 15:45:37 +0000 http://www.pruvoices.com/?p=2091#comment-1807 Shookefeh, What a nightmare! My first thought is to contact the lender directly, hopefully find someone for that lender who can lead her in the right direction to modify. I don't think anyone should give her advice as to what to do about back payments etc, except a attorney or similar. Thanks, Brian Boisson Shookefeh,

What a nightmare!

My first thought is to contact the lender directly, hopefully find someone for that lender who can lead her in the right direction to modify.

I don’t think anyone should give her advice as to what to do about back payments etc, except a attorney or similar.

Thanks,

Brian Boisson

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