California Assembly pass Senate Bill 94
California Assembly pass Senate Bill 94 otherwise known as SB 94 was sign on October 11th 2009.By the Governor in which went into effect immediately. Senate Bill 94 is a fee-free-service that provides valuable service to homeowners at risk of forecloser.SB94 is to ensure that providers of these services are not compensated until all issues have been taken care of and services have been performed.SB94 prevents companies and individuals even attorneys from receiving fees of any form beforehand. There were many con artists making up false information in which people were being scammed advance fees to borrowers were being paid in connection with the modification of the terms of the borrower’s loan and requires those who wish to charge a fee for loan modification services after performing them to provide a specific notice to borrowers regarding other options available to the customer. Which made it hard to tell which companies were being truthful and which companies were scamming and failed to live up to their agreements. Many will ask will SB94 actually stop con artist from taking advantage or homeowners and distress the issues. Or will it end up stopping lawyers from helping homeowners .Many individuals are hoping and wishing for the best and looking ahead. Now that we have learned that lenders and services have only modified an average of9% in which are qualified mortgages under the Obama plan. President Obama recently announced a $75 billion initiative called the Homeowner Affordability and Stability Plan otherwise known as (HASP).
Overview of Home Affordability Modification Guidelines
• Loans must have originated on or before January 1, 2009.
• Mortgages must be for a single-family residence with a loan balance no greater than $729,750.
• Loans can only be modified once beginning March 4, 2009 through December 31, 2012.
• Home cannot be vacant or condemned and must be a primary residence—not investor owned.
• Interest rate can be lowered to as low as 2 per cent and the term of the mortgage can be extended to a maximum of 40 years in order to maximize the reduction in loan payment.
• Borrowers will need to provide an "affidavit of financial hardship", their most recent tax return, and two recent pay stubs.
• Service providers will be required to follow a sequence of steps that modify the loan in order to reduce the monthly loan payment to no more than 31% of gross monthly income.
• Homeowners who make their payments on time are eligible for up to $1,000 of principal reduction payments each year for up to five years
Get the facts on your loan – get a Forensic Loan Audit today
Is your home worth less than what you owe? Do you have a high interest rate? Have you already been denied a loan modification?
Perhaps it is because the odds are already stacked against you. Given the current economic climate, it has been notoriously difficult to get banks to approve loan modifications. As a result, homeowners are facing extreme financial hardship and even worse, facing foreclosure. But perhaps what you need is solid proof that your original mortgage was faulty – that there were already mistakes in place in your original loan that you shouldn’t be held accountable for, thus forcing your bank into properly modifying your loan.
What Allstate Home Solutions, Inc. is offering is a chance to “X-Ray” your loan document. Their team of experts will go through your original mortgage and inspect the entire document for mistakes and violations that should never have been there in the first place.
“Because of the housing boom of 2001 to 2008, the mortgages people were signing were really hideous,” says Allstate Home Solutions, Inc Office Manager Brian Philp.
“83 percent of loans signed during that time have violations.
People were focused on just getting the money and so a lot of times, people shouldn’t have even gotten these loans, or these things should never have been signed. But these violations are not your fault – it is the lender’s or the bank’s fault. They have to take responsibility and correct these loans.”
Allstate Home Solutions, Inc will comb through your loan and make sure that all of the violations and mistakes are identified. If your loan that you are having trouble with now was signed during the housing boom years, chances are that there are very serious mistakes in your original loan that you can now use as leverage with the banks in order to get a loan modification.
“Basically it’s like we’re giving you solid ammunition,” Philp says.
“If you show them their mistakes they’ll essentially be forced into a position where they will want to negotiate with you because they also don’t want to be sued.”
Getting a Forensic Loan Audit only takes about one to two weeks. Professionals will audit all of your documents for you and can either send it back to you by mail or you can even come into their office to discuss it with them. If you decide you want to go ahead and ask your bank for a loan modification, they can point you in the right direction on where to go from there.
You only pay a onetime fee, and the fee varies on your personal situation. Allstate Home Solutions, Inc also has Filipino agents who speak Tagalog, who are always ready and available to talk with you.
“Sometimes you just need that extra muscle to take on the bank,” Philp says.
“If you don’t have a Forensic Loan Audit it’s like playing baseball without a bat,” Philp explains.
“You can still hit the ball with your hand but is it going to be incredibly difficult and even painful? Yes.
But when you get a Forensic Loan Audit pointing out to the banks all their mistakes, it’s like you have a bat to hit with.”
And as always, consultations are free at Allstate Home Solutions, Inc. It cost nothing to come in and discuss if getting a Forensic Loan Audit is the right step for you.
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