We all know someone that is trying to negotiate with their mortgage holder to restructure payment, refinance to a lower rate or modify their mortgage. Many of our neighbors are in the middle of a short sale or find themselves in a position where their only recourse is foreclosure and possible bankruptcy.
In the Contra Costa Time this Sunday was a very disturbing but accurate article by Michelle Conlin, Foreclosure Nightmare. Can you imagine owning your home free and clear and having foreclosure proceeding begin. First, I can imagine owning my home free and clear! Other homeowners in this article found themselves being foreclosed on home they didn’t even own.
I believe many of the mistakes happen because the banks did not and do not have trained personnel. I also believe that the banks want to get out of this mess just as badly as we do. Robo-signing was an embarrassing event for banks, but it was probably a good think that it was discovered. Most banks have reexamined their process for loan modification, short sales and foreclosures.
Most homeowners that need financial help just want a fair shake. Homeowners have to improve their communication as well. When talking to banks, don’t just look at your current situation, look down the road 2 years, have you set up a plan to improve your financial situation? Please make sure you communicate this to the bank when you are talking about bank assistance.
Who’s to blame? We’ve gone way past that. Many Wall Street Executives made millions of dollars from these Securitizations. There is very little we as homeowners and Realtors can do about that. Let’s talk about what we have control of and make the best possible decisions.