Mortgage Payment Assistance

In addition to various previous payment assistance plans for those unable to make their mortgage payments, Congress just this past week added another source of funding to the list of help for struggling homeowners. Included in the new financial regulations bill that became law last week, the program, Emergency Mortgage Relief, makes loans available from the Federal government to homeowners who are unable to pay their mortgage loan payments. It is specifically directed at those at least three months in arrears on their payments, and will provide loans up to a maximum of $50,000 for coverage of these payments. The reasons for the delinquency must be either unemployment or medical problems that have caused the delinquency on the mortgage. The loans will be made available beginning October 1 of this year from the U.S. Department of Housing & Urban Development (HUD). You can find them in the 'Government' pages at the front of most phone books today or go online: www.hud.gov . Good luck!

BofA Help in Massachusetts & Florida

Well, readers, this week Bank of America has announced more assistance for some of its customers. They have opened OutReach Centers in Dedham, MA and Ft. Lauderdale, FL to provide assistance to home borrowers who are having trouble making mortgage payments to the bank. In order to get the maximum benefit in each case, individual private appointment will be used by the bank to assist the borrowers. If you're in South Florida or Massachusetts, and have a mortgage with BofA, call. This may be the call that helps you save your home. Good luck!

Healthy California Trend

According to Foreclosure Radar, the month of June evidenced a healthy trend in foreclosures in the Golden State. While it is only a trend, it is encouraging. The number of actual foreclosure auction sales being cancelled--no foreclosure completed--increased 27% since May of this year and 153% since June a year ago. What this would indicate is an increased number of homes facing foreclosure ending up averting the auctioneer's hammer by reason of loan modification. The largest number of these is with JP Morgan Chase, largely due to its acquisition of Washington Mutual and that lender's large default portfolio. So, if even a share of these loan mods remain healthy, a major step has been taken to reduce the overall effects of the foreclosure crisis.

REMEMBER: If you do accept a lender's loan mod terms, make certain it is something that you truly can afford so that you don't find yourself back behind the eight ball a few months later under the loan mod's terms.

Good News in Massachusetts!

Well, if you happen to live in my original home state, the Bay State (GO RED SOX), I've got some good news for many of you who may have had sub-prime mortgages. The Mass Attorney General, Martha Coakley, announced that her office has obtained a nearly $102 Million settlement from Morgan Stanley due to their practices in the securitization and warehousing of sub-prime loans for such firms as New Century. Some of this settlement will go to homeowners to help them avoid foreclosure, while the rest will be split between the Massachusetts Pension Fund and the state's general fund. The breakdown is as follows: $58 million to over 1000 homeowners affected; $23 million to the pension fund to restore lost investment funds due to the sub-prime catastrophe; and the remainder, $19.5 million to the state's general fund. This last amount recovers lost taxpayer funds. Are you eligible for the homeowner reimbursement portion of this? Call the attorney general's office. Good luck!