J.P. Morgan Chase has announced that they will be actively seeking homeowners who are in need of a Loan Modification! In fact they are going to open 24 regional branches advocating for the needy! This not only is designed to address our nation's greatest crisis, but it will open over 500 new jobs for the company. Chase appears to be the front runner to what appears to be a long road to recovery. They also have announced that they are going to place a freeze on foreclosures during this 90 day period. It is not known whether that will include those already in foreclosure or those approaching foreclosure. This plan has a distinct similarity to a certain Presidential Candidate!?
I'd love to hear your thoughts on how effective this approach will be; and, if you were the President of Chase, what more would you do for your borrowers (if any)?
Blue Cord Realty - Clarksville, TN
Blue Cord Realty
Clark.. this sounds like a interesting concept. I will watch and see how this plays out.
Nov 03, 2008 09:42 AM
Keller Williams - Miramar, FL
CDPE, Short Sale Expert, 954-665-9449,
Clark,
This is a way for Chase to see what it is that they have within the loans they inherited from WAMU. If they can salvage some loans with modifications then it will be better for their bottom line. I don't see this being a "helping hand" to the folks that need it the most. Let's see how it plays out in the long term
Nov 04, 2008 05:19 AM
RE / MAX River's Edge - Bristol, RI
Award-Winning Realtor
Lane Realty Eatonton, GA Lake Sinclair, Milledgeville, 706-485-9668 - Eatonton, GA
Broker GA Lake Sinclair/Eatonton/Milledgeville
I'll just play a wait and see with this one also.
If I were the CEO- I'd just convert rates to fixed and extend term to 40 years and make payments easier to handle, but I would NOT be forgiving any of the actual debt. Maybe forgive past due penalties,but not principal debt.
Nov 08, 2008 01:46 AM
Short sale pathways - Rockwood, MI
Short Sale Specialist
Chase is a double edged sword, like most of the banks. They are likely acting as a servicer for the loans that they want to modify which means that they are only a middle man between them and the investor. It sounds like a good idea but they are not working for the distressed homeowners its about their investors bottom line that concerns them. I'm also concerned about the robots who have 2 days training and no experience who will be doing these modiications.
If this 90 day moritorium works, great! If not, it could blow up in therie faces and cause more problems than they already have. We'll see.
Nov 11, 2008 09:52 AM
Keller Williams Realty, Inc., Broker Associate - Madison, WI
South Central WI Real Estate
I agree with Tammy. If the borrower can not afford the payment with fixed at 40 years, then they really can't afford the property.
Nov 11, 2008 03:30 PM
Berkshire Hathaway HomeServices YSU Realty: (919) 645-2522 - Raleigh, NC
Making Connections to Success in Real Estate
I'm really curious why we haven't heard more about this? The how's and when's of the whole story. Thanks Clark for bringing it to our attention here in AR.
Nov 11, 2008 11:10 PM
Keller Williams - Miramar, FL
CDPE, Short Sale Expert, 954-665-9449,
It seems this plan, and most of the other that have been announced, are just a band-aid and will not really help in the long term. It seems the modifications will be temporary and span from 3 to 5 years. It believe it is a way to spread out their loses. I'd like to see something that will help the market on a permanent basis and not just a series of stop gap measures. This is the same basic deal as the HopeNow program and the latest Fannie & Freddie program.
Nov 12, 2008 02:21 AM
Charles Stallions Real Estate Services Inc - Gulf Breeze, FL
Buyers Agent 800-309-3414 Pace and Gulf Breeze,Fl.
I agree with Tammy, but it sounds like JP got bailout money and may be putting it to good use, if there is such a thing.
Jan 18, 2010 10:28 AM
Georgia Title & Escrow Company - Atlanta, GA
Attorney at Law
I think this is a good idea if it helps stabilize the housing market. It's nice to see this complete turnaround from several years back!
cp
Aug 31, 2013 01:15 PM
Rainer
39,975
39,975
Clark Garrison
"Loan Modifications"
Comments(10)