It's Not Over Yet! Mortgage Loan Modifications Not Working - More Foreclosures Are Coming 2011...
January 25, 2010
My blog of the day – By Christine Moscinski
I am reading and listening to what is going on around me, locally and nationally. Listening to the politicians who don’t know what they are doing and the banks who want it all.
As Americans lose their jobs, it is only a matter of time before they lose their homes. I have talked with many homeowners that have a spouse or family member that has lost their job and find themselves struggling and at the mercy of the banks. I hear of someone in this situation EVERY DAY asking me what to do as they are trying to get loan modification or someone that has and was put on "trial modification" and ultimately lost their homes anyway. To whose benefit are these loan modifications, not the homeowner?
It's just another way to "control" the pool of foreclosures, with a trickle effect. If they did not, the country and we would all be drowning.
It seems to me like we are traveling back in time to the 1930's when the banks were taking everyone's homes back. They too lost their homes. Albeit, not as severe as the GREAT DEPRESSION, but very very many are affected - and it is spreading, not going away.
The loan modifications being offered are NOT HELPING home buyers; it is delaying the homeowner's ultimate loss of their home and you will read in the coming months of more news to this effect.
The loan modifications are a failure and only benefit the banks. I advise people not to file bankruptcy (7 years bad credit) but just to give the house back to the bank (deed in lieu of foreclosure) to save them money, court costs and judgments on their credit (bank will tack all this on to your credit if you do go into foreclosure) and will ruin your creditworthiness.
Be prepared folks because more foreclosures are coming; this ride is not over yet!
Christine Moscinski is a Broker Associate and local market expert and member of the "House Hunters Team" at Gobber GMAC Real Estate specializing in local market reviews and reports.
More information can be found on her website at http://www.eHouseHuntOnline.com