SB 414 Restricts Banks
Senate Bill No. 414 was introduced to address some of the consequences of the downturn in the current real estate market. Section 2 of the Bill was intended to prevent a bank from calling a commercial mortgage loan due if the borrower is not in default. That section was quickly eliminated by amendment from the […]
OCWEN Gets Creative With Loan Modifications
Underwater borrowers may have a new loan modification option, at least with Ocwen Financial Corporation. Ocwen is expanding its SAM (Shared Appreciation Modification) Program, which allows borrowers to modify their loans at a more realistic value – generally, about 95% of their current value. In return for the modification, the homeowners contract with Ocwen to […]
Distinct Nevada Laws Concerning Deeds of Trust & Foreclosure
Nevada requires that a deed of trust be used to secure a real estate loan. Although commonly referred to as a mortgage, a deed of trust has significant differences from a mortgage. In addition, states using deeds of trust differ among themselves in their requirements. All mortgages are two-party instruments between the lender and the borrower. […]
Private Mortgage Insurance Provides Woes for Lenders and Consumers Alike
When one hears the word “insurance,” you automatically think you are “covered” from any and all “qualified” loss that exists under the umbrella of that coverage. Unfortunately, that does not appear to be true as all types of insurance from medical to long term disability have been the subject of movies and articles slamming the […]
New Foreclosure Numbers For 1st Half of 2010
Nearly 1.7 million homeowners received a foreclosure-related warning between January and June of this year. That translates to 1 in 78 U.S. homes. It is projected that more than 1 million homeowners are likely to lose their homes to foreclosure this year as lenders work through a huge backlog of borrowers who are delinquent on […]
Avoid Foreclosure with a Deed-In-Lieu?
The latest question in the local real estate market seems to be about the Deed-In-Lieu of Foreclosure and how it can help. A Deed-In-Lieu of Foreclosure was traditionally a release of all liability on a mortgage note, provided that the borrower hand the deed to the lender and leave the home in “broom swept” condition. […]
Strategic Default
Voluntary strategic defaults pose a new wave of defaults hitting the already battered housing market. A strategic default is voluntary. It occurs when the borrower decides to stop making payments, or defaults on a home mortgage despite having the financial ability to make the payments. Usually, this occurs after a substantial drop in the house’s […]