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Loan Modification vs Total Mortgage Reset

Are you aware of the differences between a Total Mortgage Reset and a Loan Modification? Perhaps it would be easier to approach it from the perspective of similarities; they are similar in that they are both a negotiation, but that is where the similarities end. The problem for the homeowner in regards to loan modification negotiations is that the bank holds the upper hand due to the fact that there is nothing in any of the mortgage paperwork that states lenders are obligated to negotiate with the homeowner. Obviously, the outcome of negotiations will always favor the party that has the upper hand.

However, due to numerous precedence setting legal cases that have gone in the favor of the homeowner, homeowners now have the ability to negotiate with the upper hand.  Below are just some of the differences between a Total Mortgage Reset Negotiation with Homeowner Protection Group vs. A Loan Modification Negotiation with your typical Loan Modification Firm.  

 

Loan Modification via Loan Modification Firm

Total Mortgage Reset With Homeowner Protection Group

Lenders have mastered the Pretend and Extend game prolonging the outcome for months and months for seemingly no reason

By law, lenders must respond and work on a resolution within 60-90 days

Any loan modification will almost always be done according to the lenders best interest

The threat of litigation will result in much more favorable outcomes for the homeowner

 

Principal reductions are extremely rare with loan modifications

HPG guarantees a minimum 10% principal reduction on accepted cases or 100% of fees will be returned

Lender will require homeowner to defend and disclose every aspect of their financial life

Lenders are required to defend their business practices; giving the homeowner the upper hand

 

Even with a successful modification a majority of homeowners will still be upside down (owe more than that property’s value)

HPG negotiates principal balance in such a way so that the overwhelming majority of clients who are currently upside down will have a new loan balance that is equal to or below appraised value

The proof of financial hardship is an absolute necessity with any loan modification

Financial hardship does not necessarily need to exist

In most cases a loan modification will lower your mortgage payment for the agreed upon fee and nothing more

HPG will negotiate rate, term, and principal balance of the homeowner’s mortgage and in addition (through business partnerships) will address and repair homeowner’s credit, negotiate unsecured debt, help increase the homeowners  chances of finding work through career training if needed, (this is called The Full Circle Package) and much more (including the possibility of claim damage awards paid to the homeowner!) for one flat fee

 

If the lender refuses to negotiate a workout that truly helps the homeowner, the loan modification is dead

If a stale mate is reached HPG’s investors will make a cash offer to the lender to buy out the note, or a qualified member of the attorney network will take the lender to court to prosecute found violations at no additional cost to the homeowner beyond filing fees

 

Throughout the process to obtain a loan modification the homeowner is  at the lender’s mercy

When violations are found, the homeowner is in the position of power

Modifications can take 6-8 months or more

A majority of HPG’s cases will be resolved in as little as 60-90 days

Arrearages may or may not be eliminated (in most cases they are moved to the back of the loan)

Arrearages are completely eliminated in addition to a guaranteed minimum 10% principal reduction

 

 

Will every loan we see contain violations and qualify for a total mortgage reset through Homeowner Protection Group attorney network? Absolutely not, but HPG will do the preliminary analysis on any mortgage loan with No Cost or Obligation to the Homeowner.  If you have an interest in pursuing this course of action, or would like more details I can be reached by phone or email, both can be found below.

I look forward to speaking with you!

P.S. Even if you are in the enviable position as to not have a need for this valuable service,  I ask you to please pass along this email to anyone you know who may, because like it or not the foreclosure problem is effecting everyone! Equity is being bled daily from all of us as these preventable foreclosures continue. The sad truth is that every foreclosure that occurs in and around your neighborhood has a direct effect on the value of your home, the strength of your schools, your fire and police departments etc. The trickledown effect from foreclosure is devastating towns and communities all over America and it is time for preventable foreclosures to stop and we need your help!

 

Sincerely,

Mike Ferrentino

Homeowner Protection Group

Email: mike@gogetreleif.com

Website: www.homeownerprotectiongroup.com

Phone: 630-605-3200

Published Saturday, January 16, 2010 1:25 PM by KRAIN - Residential and Commercial Real Estate

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