Loan Modification Scams - A Sad Story
I recently received a frantic call from a homeowner who had been foreclosed on. They had been trying to get a loan modification for months through a company that claimed they could help expedite a loan modification. The couple paid them over $700 to help them get a loan modification which sadly never occurred. They charge an upfront fee and then continue to charge the home sellers every so often if they want to continue the process. The company told them that they didn't have to pay their mortgage while they were in the loan modification process. This seemed like a red flag for me because if you are planning on staying in your home and aren't paying your mortgage your late balance will continue to go up and I don't know how most people in distress could recover from that. The house was foreclosed on and the loan modification company continued to tell the owners that if they had a short sale listing agreement in place then they would get their house back and could do a short sale. They called me to get a listing agreement and start the short sale process but it was too late. I called the contacts at their bank which was Bank of America and HUD and was told that once the house is foreclosed on the bank or in this case HUD was not going to give the homeowner their house back. It is a sad scenario where a company is taking advantage of people in distress by duping them out of thousands of dollars, and helping to destroy peoples credit and financial futures. Most large banks have all of the forms on their websites to start the loan modification process that you can download, fill out and fax into the bank. The process of getting a loan modification can take time but you don't have to pay for it. If your bank doesn't have these forms readily available below are some links to how you can get help.
Mortgage Modification Resources:
The Home Affordable Refinace Program
www.MakingHomeAffordable.gov
HOPE NOW
www.HopeNow.com
Fannie Mae Loan Lookup
http://loanlookup.fanniemae.com/loanlookup/
Freddie Mac Loan Lookup
https://ww3.freddiemac.com/corporate
HUD Approved Counselors:
ACORN Housing
www.acornhousing.org
Catholic Charities USA
www.catholiccharitiesusa.org
Consumer Credit Counseling Service of Atlanta
www.cccsatl.org
HomeFree-USA
www.homefreeusa.org
For more information call Kim Darwaza of RE/MAX Allegiance your Northern Virginia Short Sale Expert and Realtor at 703-856-2254 or visit http://www.NovaForeclosureRelief.com. Kim is a Certified Distressed Property Expert. As a CDPE she is a Northern Virginia Short Sale Expert and assists distressed homeowners in the sale of their homes in order to help them avoid Foreclosure. Kim has successfully helped clients short sell their homes in the greater Northern Virginia areas of Fairfax County, Prince William County, Loudoun County, Arlington and Alexandria. She looks forward to assisting you in making this process as smooth as possible during this difficult time.