Under terms of a settlement with Banks and NY attorney general, Banks are supposed to do more to help homeowners.
They are are actually doing not too much in principal reduction which was supposed to be the main benefit. They are leaning heavily towards short sales and write downs of 2nds. Big deal- 2nds will go away in foreclosure anyhow.
Wells ( the worst in my opinion)uses almost short sales exclusively. Chase discounts 2nds, Citi does more 2nd mortgage discounts and short sales than write downs of first mortgages.
The banks are not abiding by the other rules of the game and the NY attorney general plans to go to court to force them.
We have heard stories of banks still going to sale while loan modifications were taking place- a no-no under the new laws.
Is anyone surprised?
Home prices in Ca. rose about 25k in ONE MONTH. That was an 8% increase and 24.% from last year. WOW!!!! LA county home prices were up over 24% from last year.
Read more on Bubble or no bubble?…
I put this on my blog; my facebook and my email list because I think it’s so important.
Since I come from a family of attorneys, I am always worried about, “what if”. I try to look ahead so that I try to minimize any possibility of legal hassles. One bad deal can erase a bunch of good deals and can cause major damage. I always try to avoid trouble- especially when dealing with someone in foreclosure.
Read more on What to do with equity…
It’s now at 3.66 for a 30 year fixed and under 3 for a 5 yr fixed. Who wants to do this with me? Hold for 5 years and then sell. By then, the real estate market will have picked up.