Lakewood, California
If you don’t qualify for a loan modification, is a short sale your best option?
There is a lot of conflict with lenders loss mitigation teams battling other departments within the banks structure. Even today the different departments struggle with short sales or wonder if they should foreclose. A Lakewood short sale will save the lender more money over the long haul, because they don’t have to maintain the property, taxes, the fear of vandalism, and a whole host of other complications
The Obama administration introduced the $75 billion loan modifications program 4 months ago to refinance and modify millions of mortgages, by offering government subsidies and incentives for servicers, lenders, and borrowers. The plan offers $1,000 to mortgage companies for each loan they modify, followed by $1,000 per year for the next 3 years. The program has been ineffective so far with millions of homeowners continuing to slip into delinquency and foreclosure. Analysts attribute the slow progress of the program to operational constraints faced by mortgage companies. Experts say ” mortgage companies need to do better to promote the program.”
They need to do a much better job on the basic management and operational side of their firms. Believe it or not even in today’s banking industry the level of training is not there yet. Many mortgage companies/lenders acknowledge they need to do more. Tom Kelly, a spokesman for JP Morgan Chase, which now owns Washington Mutual, said “the bank has added 950 loan counselors since the beginning of the year, bringing the total to 3,500, in order to expedite the process,but we’ve got a lot more to do,” said Kelly.
