What is going on with Mortgage Modification?
June 8, 2009
You really want to know? Well, you better allow a few months for the market to “catch on” to the concept….
In essence, the Obama administration has published a plan which should apply to 75% of the mortgages in the country. The “Make Home Affordable” initiative is designed to assist the homeowner who is delinquent in payments, and cannot afford 100% of his normal payment, based on current household income.
In theory, the monthly mortgage payment is adjusted downward for 5 years. The hope is to save homeownership, a stable tax base, cash flow to the lender, and neighborhood values. There are many obvious advantages for all.
But most lenders don’t understand the details. In 5 recent foreclosures where I have represented the homeowner who is trying to keep his home, lenders didn’t know program specifics (nor did their attorneys). Their approach was the basic “we win, you lose; see you at the foreclosure sale”.
I have had to continue hearings while giving the lender personnel time to research what they are legally obliged to do: offer loan payment modifications for a 5 year term, if the homeowner does not have the money to make the contractual payment.
Stay tuned for further developments………
A radio show…….why bother?
June 8, 2009
Most Saturday mornings, I start the day with a warm cup of coffee and reading the newspaper, or maybe 10 newspapers, if I have not yet caught up with the week. After a while, the speed-reading swirl in my head calms down, and I can start to discern why I have started to cut out those articles now so neatly arranged on the kitchen table.
As the “theme of the week” becomes clearer, I am lost in thought, organizing the topic and my presentation. And before you know it, like Jackson Browne and the roadies, we have powered up a show, and “we remember why we came”.
Once done, I critique: Was it compelling? Lucid? Relevant?
Why bother? Just for the thrill of thinking out a relevant problem in a world where people need someone to trust. In the practice of law, our service is done to the extent that we are able to communicate. Let us start with building trust, based on reliable and solid advice.
