REIaddicted
01-05-2005, 11:24 PM
How To Stop Foreclosures
“Forbearance Agreement” with lender
As a general rule most lenders will accept ˝ of the reinstatement figures shown. The remaining portion is usually “spread out” over a period of 12 months.
These numbers should be a number that your customer is comfortable paying.
Lenders are in the business of lending money.
They are not in the Real Estate business.
They do not want your customers property!
You should be aware that banks lose money when they are left with no other choice than to foreclosure on your property?
Months of payments not made, legal fees, and commissions to be paid when they sell. This adds up to a big loss on their books. Knowing this you should know that lenders are usually more than happy to work out a resolution with you and your customer.
What Is A Forbearance Agreement?
A Forbearance Agreement is any agreement between you and your lender where they will allow the foreclosure process to step back and allow you to make up your back payments.
Lenders may allow your customer to repay a portion of what is owed and allow your customer to continue making regular payments plus an amount that the lender and your customer have both agreed on to repay the arrears.
One thing to note is that if at any time your customer fails to keep up with the payments many lenders will not work with your customer in hopes of repayment. Your customers foreclosure will be pushed back into the active pile and will continue where it was left off before you’re customers repayment plan was agreed on.
If your customers feels they can repay and want to keep the house you may contact their lender asking what the amount is that need to reinstate the loan. Remember lenders don’t want your customers house!
If your customer and you the investor state your customers case showing how your customer is now able to continue making payments but can’t come up with the large amount needed to catch up completely.
Many lenders out there will except ˝ of the reinstatement fee and allow your customer to continue making payments plus what it will take to have the balance paid in 12 months.
“Forbearance Agreement” with lender
As a general rule most lenders will accept ˝ of the reinstatement figures shown. The remaining portion is usually “spread out” over a period of 12 months.
These numbers should be a number that your customer is comfortable paying.
Lenders are in the business of lending money.
They are not in the Real Estate business.
They do not want your customers property!
You should be aware that banks lose money when they are left with no other choice than to foreclosure on your property?
Months of payments not made, legal fees, and commissions to be paid when they sell. This adds up to a big loss on their books. Knowing this you should know that lenders are usually more than happy to work out a resolution with you and your customer.
What Is A Forbearance Agreement?
A Forbearance Agreement is any agreement between you and your lender where they will allow the foreclosure process to step back and allow you to make up your back payments.
Lenders may allow your customer to repay a portion of what is owed and allow your customer to continue making regular payments plus an amount that the lender and your customer have both agreed on to repay the arrears.
One thing to note is that if at any time your customer fails to keep up with the payments many lenders will not work with your customer in hopes of repayment. Your customers foreclosure will be pushed back into the active pile and will continue where it was left off before you’re customers repayment plan was agreed on.
If your customers feels they can repay and want to keep the house you may contact their lender asking what the amount is that need to reinstate the loan. Remember lenders don’t want your customers house!
If your customer and you the investor state your customers case showing how your customer is now able to continue making payments but can’t come up with the large amount needed to catch up completely.
Many lenders out there will except ˝ of the reinstatement fee and allow your customer to continue making payments plus what it will take to have the balance paid in 12 months.