I wanted to share with you a homeowner's Christmas Miracle.
Many homeowners purchased their home and got ARM (Adjustable Rate Mortgage). These type of loan vary but commonly, the loan has a fixed rate for 2 years then the rate adjusts (fluctuates up and down) depending on the current prime rate. In this homeowner's case, the rate has adjusted a few years ago to a rate as high as 11%, which made the monthly payments unaffordable coupled with the fact the second source of income has stopped.
A homeowner who has been behind in their mortgage payments has called me to discuss their options. As you may already know, I am a short sale specialist and I help people short sale their home in lieu of foreclosure. The homeowner got their short sale package together as I got ready to put their home on the market. In the meantime, the homeowner has looked for other home alternatives and have submitted a lease application. A few days later, the homeowner received word that their lease application was denied. A day later, the homeowner received "the letter" from the bank about foreclosure proceedings. The homeowner and I met the following day after church to get a copy of the letter. That afternoon, the news had sunk in, the homeowner emailed me, needing to find an alternative lease but unfortunately, they did not have the money for a lease application until next pay day. As some of you know the stress of moving is very cumbersome but to have the feeling of losing their own home AND not having a place to stay is overwhelming.
I received a phone call the following evening. The homeowner was elated after getting off the phone with the lender, they received a letter from the bank stating that they were being offered a loan modification. The loan would convert to a fixed rate and the payments would be less than the original fixed rate payments. I was happy to hear these news as the homeowner gets to stay in the home they have lived in for the past 20+ years!
It's about time the banks stepped up to the plate and offered such programs to the homeowners. Everyone with a hardship should be able to get a loan modification especially when the rates are going down. I want you to know that if you are experiencing a hard ship and and may be facing foreclosure, I am here to help you.
When the world around us is upside down, pray for a miracle. Miracles do happen!
