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Most Short Sales, Foreclosures Completely Unnecessary!!

By
Real Estate Broker/Owner with Realty One Group

Most of the properties for sale as Short Sales as well as properties currently in foreclosure are unnecessary, so property owners should strongly consider all of their options before taking the steps towards certain financial ruin and seriously derogatory credit.

The use of Federal and State lending laws could dramatically alter the ever-increasing number of homes for sale as a short sale, as well decreasing the large number of foreclosures and bank-owned properties.  More importantly, homeowners can keep their homes and improve their credit rating.

A thorough review of all mortgage loan documents, including the initial loan application and disclosures up to the final closing documents should be carefully reviewed for lending law violations that have been found in over 80% of mortgage loans originated in the last five years. This in turn could give their current mortgage lender the encouragement necessary to modify the mortgage loan to more favorable terms, such as a principal loan reduction and/or a low fixed interest rate, regardless of the homes current value!

Long before the recent call for sweeping changes to mortgage loan underwriting guidelines, Federal lending laws such as RESPA, TILA, HOEPA and other acronym-shortened lending laws were enacted to prevent much of the abuses that have recently been found in thousands of subprime credit and conventional mortgage loans, especially those mortgage loans originated in the last three to five years. 

The combination of toxic mortgage loans coupled with unscrupulous mortgage brokers and out of state mortgage lenders who originated high cost, high interest loans at the expense of consumers often represent the largest portion of error-filled mortgage loans. Tens of thousands of these problematic mortgage loans have been found to violate at least one Federal and/or State Lending laws that could present trouble for mortgage lenders, and opportunities for consumers to make their mortgage loan affordable and less risky.   

Homeowners considering a short sale of their home or are facing the certainty of a foreclosure on their home are strongly urged to contact a qualified and experienced Mortgage Loan Auditor right away to have an extensive Forensics Audit of their mortgage loan documents.  Many audits can be completed in as little as five days, and could be very useful in modifying their mortgage loan and/or stopping a foreclosure. 

If your home is currently listed for sale as a Short Sale, a Forensic Mortgage Loan Audit can still be completed, since most mortgage lenders desire to have the home listed for sale as a Short Sale even when the customer requests a mortgage loan modification. 

Whether it is your goal to seek a mortgage loan modification, loan reinstatement, or rescission of your mortgage loan all together, proper use of these lending laws as a means of dealing directly with your mortgage lender does give you advantages in helping you keep your home while at the same time leveling off ever decreasing property values due to unnecessary short sales and foreclosures.

Mike Sikorski, MBA, GRI

Licensed Real Estate Broker

Licensed Mortgage Broker

Loss Mitigation Specialist

Florida Realty Network LLC

22079 Kimble Avenue

Port Charlotte, Florida 33952

941-206-6000

Mike@FloridaRealty.net