HAMP, What It Is?


The Obama Administration has added another weapon on its arsenal of programs and strategies to help millions of distressed homeowners save their properties from becoming foreclosed homes. Lately, there has been mixed result in its success. I have also posted another article on this blog about the mixed reviews this Obama Plan is getting from various sources.

The “Making Home Affordable” foreclosed homes relief plan is aimed at helping distressed homeowners reduce their monthly payments to allow them to stay current on their mortgages. I am sure now everyone has heard about this HAMP plan and already applied under it. It does not cover every situation but it does cover most of the hard pressed situation, and it is a best guarantee against foreclosure along with the Nevada Mediation program.

Here are some points that housing experts believed distressed homeowners should consider before applying for a foreclosed homes prevention plan: There are no magic bullets here. Just consistency, patient, and preparation is enough. I had given these timeless hints many times in my articles. I am dovetailing it once more.

Be patient. Always bear in mind that you are not the only distressed homeowner who want to save your property from becoming foreclosed homes. It is expected that mortgage lenders and servicers will be inundated with questions about the mortgage relief plan. There are some 100,000 calls only received by bank of American. There faxes are jammed, some time out of paper and some time their ink pads are over used. Again, many times the senders had not written their loan number on each and every page with the result that these faxes cannot be traced to the owners.

Most of these new hires are of course not fully trained. Most of them has only basic high school education, or if they have some experience, is not about this job. Do not expect mortgage lenders, real estate and finance experts to know every infinitesimal detail of the plan as it will take some time for lenders to sign agreements to take part in the federal government’s foreclosed homes prevention plan.
Be persistent. Continue making that calls to your mortgage lender to inquire on the status of your loan modification application. Please do not assume that your lenders had received your paperwork. Call to confirm.
Be aware of your financial status. Before meeting with your mortgage servicer, know first how much debt you owe, your monthly budget and mortgage payment. According to Americana Mortgage Group President Bob Moulton, most distressed homeowners who are not knowledgeable about their finances often make uninformed decisions that they would regret later.
Prepare Financial Documents. Ask for a list of financial documents that you would need to apply for a loan refinancing or modification under the foreclosed homes prevention plan.
Write your hardship letter. I have various hardship samples on this blog. You are welcome to copy them and craft according to your own situation. At least, I can provide this service free. The letter, which will be a part of your documents that you will submit to avail of a loan refinancing or modification, allows you to explain why you need to modify the terms of your loans to make them affordable and save your property from being added to the growing list of foreclosed homes.
Stay Away from Scam:
The U.S. government is cautioning distressed homeowners to avoid fee-based mortgage or financial counselors who may take advantage of their desperation to save their properties from foreclosures.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s