Contact us:
PHP Houses
142 W Lakeview Ave
Unit 1030
Lake Mary, FL 32746
Ph: (407) 519-0719
Fax: (407) 205-1951
email: info@phphouses.com
Homeowners can have a tough time trying to avoid foreclosure. Late fees, exorbitant monthly payments, and other bills can make affording your current home a nightmare. Tackle on unexpected financial hardships and you’ll almost certainly experience the foreclosure process. But homeowners aren’t alone when needing foreclosure help in Orange Seminole Volusia Lake Osceola Counties, FL. There are many programs and methods to avoid foreclosure when trying to save your home.
There are several places to find foreclosure help in Orange Seminole Volusia Lake Osceola Counties, FL. Seeking foreclosure help from the government is one of the most common methods. Before contacting your lender about general loan modification, familiarizing yourself with the current initiatives enacted by the federal government can give homeowners the much-needed edge to avoid foreclosure.
One of the most common programs used by homeowners in foreclosure trouble is the Home Affordable Modification Program (HAMP).
Specifically, HAMP is used to lower a borrower’s monthly mortgage payments to make them both affordable and sustainable. The program achieves this by adjusting interest rates, extending payment terms, and reducing – or even forbearing – the loan’s principal for qualified homeowners. HAMP boasts that homeowners save approximately $500 per month on average. Half a grand can be home-saving for homeowners seeking foreclosure help.
Another loan modification plan went into effect 2013 to help homeowners avoid foreclosure. Created by Federal Housing and Finance Administration (FHFA), the Streamlined Modification Initiative (SMI) is similar to HAMP by offering homeowners the opportunity to redefine their mortgage payment plan.
Unlike HAMP, however, SMI allows borrowers to qualify for mortgage relief without gathering mountains of paperwork and applying. The mortgage company must mandatorily offer SMI after a borrower misses payment deadlines before initiating foreclosure, typically between 3 and 24 months.
Before SMI modifies the loan permanently, eligible borrowers will be required to make 3 on-time trial payments. The exact terms for those trial payments will differ among homeowners, but will be based on a fixed interest rate and sent through a letter in the mail. Once the trial is completed successfully, the loan changes are permanent. The SMI may also require principal forbearance and extended payment terms for some underwater borrowers.
“This new option gives delinquent borrowers another path to avoid foreclosure.” FHFA acting director Edward DeMarco said in a press release when SMI was initially proposed. “We will still encourage such borrowers to provide documentation to support other modification options that would likely result in additional borrower savings.”
SMI was enacted to minimize losses and help financially troubled homeowners avoid foreclosure. The program specifically targets government-sponsored agencies Fannie Mae and Freddie Mac, two of the leading insurers in the nation. Currently, the program works in tangent with a new government initiative enacted this year called the Principal Reduction Modification Program (PRMP).
PRMP is a one-time program for underwater borrowers that need assistance meeting monthly mortgage payments. This new program builds on the pre-existing SMI. If the homeowners can meet the lower payments and accept the lender’s final modification, the principal forbearance amount instituted by SMI will be forgiven. This means that homeowners who qualify for a PRMP will not have to pay back portions of their loans ever. It’s a greatly limited program for borrowers that need foreclosure help in San Antonio, TX.
If homeowners can’t qualify for any of the multitudes of loan modification programs or seek general consultation, the U.S. Department of Housing and Urban Development (HUD) offers free housing counseling services. By contacting an HUD-approved foreclosure avoidance counselor, homeowners can receive information and assistance necessary to avoid foreclosure. This option can be found conveniently on HUD’s website and is no-cost foreclosure help from the government.
Seeking foreclosure help in Orange Seminole Volusia Lake Osceola Counties, FL can be especially easy for veterans. In addition to the government programs offered above, veterans can seek help from the U.S. Department of Veterans Affairs (VA). VA not only offers ample benefits, news, and careers for active and retired servicemen and women, it provides a plethora of resources designed to keep veterans in their homes.
One of VA’s more helpful resources is the Home Loan Guaranty Service (HLGS). This program offers the assistance of more than 150 trained loan technicians situated throughout the country.
Much like HUD’s housing counselors, the service helps veterans understand how to retain their homes and avoid foreclosure with knowledge and assistance. They have some of the lowest rates in the industry while specifically targeting veterans that need government foreclosure help. Impressively, HLGS has helped nearly 300,000 veterans who were delinquent in their mortgage find a solution to avoid foreclosure.
Many veterans struggling to make monthly mortgage payments find relief in a VA streamline refinance loan. They’re similar to SMI but are restricted to homeowners that are also veterans. Officially known as an Interest Rate Reduction Refinance Loan (IRRRL), an IRRRL is a VA-guaranteed loan that lowers your interest rate. Consequently, it decreases the monthly principal and interest payments and offers veterans a better chance at making payments. Veterans are eligible for these refinance loans if their home loan is one of the special VA-guaranteed loans.
Receiving an IRRRL does not require an appraisal, credit information, or underwriting. This allows veterans to apply without restrictions, saving precious time and money during the high-stress situation of a foreclosure. Veterans are allowed to use an IRRRL to refinance an underwater home though. (Remember, being underwater means owing more to your lender than your home is worth.) The basis for an IRRRL is the existing VA loan that cannot be paid, instead of the current market value of your home. Therefore, veterans can receive a greater refinance to pay off any financial hardships keeping them from making those mortgage payments.
If the loan modification process seems too time-consuming or a homeowner isn’t eligible for the government foreclosure help, there is yet another option. Many homeowners at risk for foreclosure seek foreclosure help by contacting a company that buys houses directly. This option is not only less stressful, it’s also extremely effective when trying to avoid foreclosure.
Many homeowners assume that house buyers are solely interested in buying properties.
However, many house buying investment companies would rather offer free foreclosure help to homeowners in need than make a sale.
House buying companies know the emotional and financial stress caused by foreclosing and all sympathetic to those experiencing financial issues. They’re also unbiased; unlike your lender, house buyers have no financial stake in your loan defaulting. Before making a call to your mortgage lender, contact a house buying company to see what your options are from an unbiased point of view. Unsolicited and sympathetic foreclosure help in Orange Seminole Volusia Lake Osceola Counties, FL is always the best option.
PHP Houses is one such house buying company in Orange Seminole Volusia Lake Osceola Counties. Give us a call at 407-641-1531 so we can help you with options to avoid foreclosure.
Contact us:
PHP Houses
142 W Lakeview Ave
Unit 1030
Lake Mary, FL 32746
Ph: (407) 519-0719
Fax: (407) 205-1951
email: info@phphouses.com
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With all of the havoc being caused by COVID-19, many are concerned we may see a new wave of foreclosures. Restaurants, airlines, hotels, and many other industries are furloughing workers or dramatically cutting their hours. Without a job, many homeowners are wondering how they’ll be able to afford their mortgage payments.
In spite of this, there are actually many reasons we won’t see a surge in the number of foreclosures like we did during the housing crash over ten years ago. Here are just a few of those reasons:
During the previous housing crash, the government was slow to recognize the challenges homeowners were having and waited too long to grant relief. Today, action is being taken swiftly. Just this week:
When the housing market was going strong in the early 2000s, homeowners gained a tremendous amount of equity in their homes. Many began to tap into that equity. Some started to use their homes as ATM machines to purchase luxury items like cars, jet-skis, and lavish vacations. When prices dipped, many found themselves in a negative equity situation (where the mortgage was greater than the value of their homes). Some just walked away, leaving the banks with no other option but to foreclose on their properties.
Today, the home equity situation in America is vastly different. From 2005-2007, homeowners cashed out $824 billion worth of home equity by refinancing. In the last three years, they cashed out only $232 billion, less than one-third of that amount. That has led to:
Even if prices dip (and most experts are not predicting that they will), most homeowners will still have vast amounts of value in their homes and will not walk away from that money.
The government is aware of the financial pain this virus has caused and will continue to cause. Yesterday, the Associated Press reported:
“In a memorandum, Treasury proposed two $250 billion cash infusions to individuals: A first set of checks issued starting April 6, with a second wave in mid-May. The amounts would depend on income and family size.”
The plan also recommends $300 billion for small businesses.
These are not going to be easy times. However, the lessons learned from the last crisis have Americans better prepared to weather the financial storm. For those who can’t, help is on the way.
Contact us:
PHP Houses
142 W Lakeview Ave
Unit 1030
Lake Mary, FL 32746
Ph: (407) 519-0719
Fax: (407) 205-1951
email: info@phphouses.com
In times of uncertainty, one of the best things we can do to ease our fears is to educate ourselves with research, facts, and data. Digging into past experiences by reviewing historical trends and understanding the peaks and valleys of what’s come before us is one of the many ways we can confidently evaluate any situation. With concerns of a global recession on everyone’s minds today, it’s important to take an objective look at what has transpired over the years and how the housing market has successfully weathered these storms.
We all remember 2008. This is not 2008. Today’s market conditions are far from the time when housing was a key factor that triggered a recession. From easy-to-access mortgages to skyrocketing home price appreciation, a surplus of inventory, excessive equity-tapping, and more – we’re not where we were 12 years ago. None of those factors are in play today. Rest assured, housing is not a catalyst that could spiral us back to that time or place.
According to Danielle Hale, Chief Economist at Realtor.com, if there is a recession:
“It will be different than the Great Recession. Things unraveled pretty quickly, and then the recovery was pretty slow. I would expect this to be milder. There’s no dysfunction in the banking system, we don’t have many households who are overleveraged with their mortgage payments and are potentially in trouble.”
In addition, the Goldman Sachs GDP Forecast released this week indicates that although there is no growth anticipated immediately, gains are forecasted heading into the second half of this year and getting even stronger in early 2021.
Both of these expert sources indicate this is a momentary event in time, not a collapse of the financial industry. It is a drop that will rebound quickly, a stark difference to the crash of 2008 that failed to get back to a sense of normal for almost four years. Although it poses plenty of near-term financial challenges, a potential recession this year is not a repeat of the long-term housing market crash we remember all too well.
Next, take a look at the past five recessions in U.S. history. Home values actually appreciated in three of them. It is true that they sank by almost 20% during the last recession, but as we’ve identified above, 2008 presented different circumstances. In the four previous recessions, home values depreciated only once (by less than 2%). In the other three, residential real estate values increased by 3.5%, 6.1%, and 6.6% (see below):
Concerns about the global impact COVID-19 will have on the economy are real. And they’re scary, as the health and wellness of our friends, families, and loved ones are high on everyone’s emotional radar.
According to Bloomberg,
“Several economists made clear that the extent of the economic wreckage will depend on factors such as how long the virus lasts, whether governments will loosen fiscal policy enough and can markets avoid freezing up.”
That said, we can be confident that, while we don’t know the exact impact the virus will have on the housing market, we do know that housing isn’t the driver.
The reasons we move – marriage, children, job changes, retirement, etc. – are steadfast parts of life. As noted in a recent piece in the New York Times, “Everyone needs someplace to live.” That won’t change.
Concerns about a recession are real, but housing isn’t the driver. If you have questions about what it means for your family’s homebuying or selling plans, let’s connect to discuss your needs.
Contact us:
PHP Houses
142 W Lakeview Ave
Unit 1030
Lake Mary, FL 32746
Ph: (407) 519-0719
Fax: (407) 205-1951
email: info@phphouses.com
Contact us:
PHP Houses
142 W Lakeview Ave
Unit 1030
Lake Mary, FL 32746
Ph: (407) 519-0719
Fax: (407) 205-1951
email: info@phphouses.com
Foreclosure is a scary process for most homeowners. When you acquire a mortgage, there’s a constant threat of foreclosure looming over your head. Knowing how to stop foreclosure from happening before it becomes a problem is an important thing for homeowners to understand. Whether the continual payments are too high or a homeowner finds himself experiencing financial hardship, having your home seized by the courts is a real possibility. But even after missing a few months of payments and receiving a Notice of Default, losing your home doesn’t have to be inevitable. With a general knowledge of the foreclosure process and determination to keep your home, you can learn how to stop foreclosure in FL. We’ll show you how so that you can be prepared should you ever need to avoid a foreclosure. 
Although homeowners have several strategies to choose from when deciding how to stop foreclosure process, some everyday advice can be implemented to slow the foreclosure’s acceleration. Before making major life-altering decisions, consider some of these general tips when contacting your lender. One of the easiest ways how to stop foreclosure in FL is by communicating with the mortgage company. If a homeowner cannot meet the required monthly payments, changing the amount owed each month will ease a borrower’s financial burden. Asking for a loan modification is one possible permanent solution. Loan modifications typically allow homeowners to make lower payments at higher interest rates or over an extended loan period. If a borrower is on the cusp of foreclosure due to several missed payments, they can ask their lender about reinstatement. Also known as a temporary indulgence, a reinstatement allows homeowners to bring their loan current and proceed with their mortgage as before. However, a borrower must be able to afford to make the missed payments in addition to late fees and interest rates. Reinstatement might not be a viable option for homeowners with lasting financial issues. Mortgage companies can also offer other plans to assist homeowners when asked. Repayment plans, for instance, allow borrowers to repay missed payments by making slightly increased monthly payments. These plans allow you to catch up while stopping foreclosure. All a homeowner needs to do is communicate with their lender and ask about current options to relieve loan debt. More times than not, a quick call to a sympathetic lender can be home-saving.
Seeking the help of third-parties is another way how to stop foreclosure in FL. Although homeowners have several options when stopping foreclosure, sometimes the process is too much for a single person. Enlisting the expertise of professionals will lessen your stress while providing a multitude of options for keeping your home. One option available to borrowers is contacting a foreclosure avoidance counselor. The U.S. Department of Housing and Urban Development (HUD) offers free housing counseling services to give homeowners the information and assistance necessary to avoid foreclosure. They’re offered in every state and can be found conveniently on HUD’s website. Homeowners can also seek out help from the new Home Affordable Modification Program. Enacted by President Obama, the Homeowner Affordability and Stability Plan (HASP) allows homeowners to refinance to reduce monthly payments while implementing a special Making Home Affordable loan modification that can be applied by lenders. “If your mortgage payment is more than 31 percent of your monthly income, for instance, the new program offers financial incentives to lenders to lower the monthly payments,” adds Fraser Sherman, prominent finance journalist. Borrowers can also seek help from the courts. The expertise applied when hiring an attorney can be helpful when wanting to know how to stop foreclosure immediately. Not every foreclosure process warrants legal intervention; nonjudicial foreclosures skip the courts altogether. If a homeowner feels like their foreclosure is unjust due to lender errors, unfair terms, or failure to follow legal procedures, they may have a viable lawsuit. These substantive defenses are considered the best legal way to stop the foreclosure process.
Many homeowners find themselves at risk for foreclosure after accruing a large amount of debt. They might think filing for bankruptcy is the simplest solution to escape their financial troubles. In some instances and with enormous debts, that can be true. However, if a homeowner isn’t keen on a lengthy litigation process and wants to halt the foreclosure process immediately, filing for bankruptcy might not be the best strategy for how to stop foreclosure in FL. Once an individual files the petition for bankruptcy, federal law prohibits debt collectors from seizing assets to pay off what’s owed. Since foreclosure is considered a collection activity, mortgage lenders must halt the foreclosure process. Once in court though, the bankruptcy trustee’s role is to play mediator between the filer and creditors, not absolve debt. Going through the courts will buy borrowers time to make past mortgage payments, but it won’t stop the foreclosure process completely. Filing for bankruptcy also has longer lasting consequences. Depending upon which chapter of bankruptcy you file under, the filing will remain on an individual’s credit report for up to ten years. During that period, it can prevent a homeowner from obtaining future lines of credit or borrowing from another lender. If a homeowner forecloses after filing, they’ll be unable to take out another loan and may be forced to live in an undesirable location until they can. Unless the consequences of bankruptcy are manageable to a homeowner, it’s not the best option when deciding how to stop home foreclosure proceedings. Just be careful that you don’t end up paying attorneys the money you could have used to pay arrears and get out of foreclosure. Yikes!
Although homeowners have several methods available to saving their property from repossession, some options are better than others. Selling your property to a cash home buyer before the lender takes it to auction might be the best way how to stop foreclosure in FL. Homeowners have the option to sell to a cash home buyer, even after a lender begins the foreclosure process. After defaulting but before the Notice of Sale, mortgage companies must consider selling if a borrower gets an offer from a buyer. Many lenders prefer this to other options because it saves them time, effort, and trouble when looking for home buyers at auction. Selling to a cash house buyer is the best method to saving your home because it allows homeowners to keep whatever profit they make after paying back the lender. When homeowners sell, they gain standing in an otherwise powerless situation. Foreclosure is a scary threat on your credit that could possibly leave you homeless. By selling to a cash house buyer, homeowners gain the advantage of making their own decisions, acquiring money to use on their next property, and forego the foreclosure process completely. It’s the best option when needing to know how to stop foreclosure in FL.
See, learning how to stop foreclosure isn’t as bad as you thought. If you’d like to see how much you could get for your house from a buyer that can close it fast, give us a call at 407-641-1531. We buy houses in Orange Seminole Volusia Lake Osceola Counties and can close within 2 days if absolutely necessary. We pay fair prices, but if our offer is not acceptable, you have absolutely no obligation to take it. It has to work for both parties and we only move forward if everyone is happy. Give us a call and find out what we can pay you for your house! Contact us: PHP Houses 142 W Lakeview Ave Unit 1030 Lake Mary, FL 32746 Ph: (407) 519-0719 Fax: (407) 205-1951 email: info@phphouses.com
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The residential real estate market has come roaring out of the gates in 2020. Compared to this time last year, the number of buyers looking for a home is up 20%, and the number of home sales is up almost 10%. The increase in purchasing activity has caused home price appreciation to begin reaccelerating. Many analysts have boosted their projections for price appreciation this year.
Whenever home prices begin to increase, there’s an immediate concern about how that will impact the ability Americans have to purchase a home. That thinking is understandable. We must, however, realize that price is not the only element to the affordability equation. Mark Fleming, Chief Economist at First American, recently explained:
“When demand increases for a scarce (limited or low supply) good, prices will rise faster. The difference between houses and other goods is that we buy them with a mortgage. So, it’s not the actual price that matters, but the price relative to purchasing power.”
While home prices have risen recently, mortgage interest rates have fallen rather dramatically. At the beginning of last year, the 30-year fixed-rate mortgage stood at 4.46%. Today, that number stands over a full percentage point lower.
Michael Hyman, a research data specialist for the National Association of Realtors (NAR), explained in a recent report that, even though home values have increased over the last year, the monthly cost of owning a home has decreased:
“With lower mortgage rates compared to one year ago, the payment as a percentage of income fell to 15.5%…from 17.1% a year ago.”
When purchasing a home, the price is not as important as its cost. Today, the monthly expense (cost) of purchasing the same house you could have purchased last year would be less. Or, you could purchase a more expensive home for the same monthly expense.
Fleming, looking at all aspects of the affordability equation (prices, wages, and mortgage rates), calculated the actual numbers in a recent blog post:
“Low mortgage rates and income growth triggered a 13.5% increase in house-buying power compared with a year ago.”
Since wages have increased and mortgage rates have dropped to historically low levels, this is a great time to buy your first home or move up to the home of your dreams. As Tendayi Kapfidze, Chief Economist at LendingTree, recently advised:
“If you are in a point in your life where you’re considering buying a home today, it’s a better time to buy than 10 years ago. If you can get a mortgage, you’re getting much lower interest rates, and it enables you to afford more.”
Whether you’ve considered becoming a homeowner for the first time or have decided to sell your home and buy one that better suits your current lifestyle, now is a great time to get together and discuss your options.
Contact us:
PHP Houses
142 W Lakeview Ave
Unit 1030
Lake Mary, FL 32746
Ph: (407) 519-0719
Fax: (407) 205-1951
email: info@phphouses.com
Buying your first home can seem overwhelming. Thankfully, there’s a lot of great information out there to help you feel more confident as you learn about the process. For those in younger generations who aspire to buy, here are three things to consider sooner rather than later in your journey:
Overall, Millennials make up the largest group of homebuyers in today’s real estate market, and Gen Z is not too far behind. A recent study shared by Freddie Mac shows, however, that Generation Z isn’t as confident in the homebuying process as Millennials. The best thing potential young buyers can do is understand what it takes to buy a home. Learn as much as you can about the mortgage process, down payment options, and the overall steps to take along the way.
Homeownership allows you the chance to put a small portion of the home’s value down when you buy, and then watch your appreciation grow on the full value of the home – not just on the down payment. It’s one of the best investments you can make, and a form of ‘forced savings’ working in your favor over time. The added bonus? You get to live there, too.
Having someone you trust to guide you through this process is invaluable. Finding a local real estate expert to help you navigate through the transaction and feel more confident as you make important decisions could be the best choice you make.
For Millennials and Gen Z’ers thinking about buying, today’s historically low interest rates combined with the outlook for future home appreciation is a big win. This means whatever you buy today, you’ll be bragging about 10 years from now. You can feel confident about that!
If you’re ready, buying your first home sooner rather than later is one of the best decisions you can make. But there are many things to consider before taking that step, so let’s work together to help you confidently navigate the full journey.
Contact us:
PHP Houses
142 W Lakeview Ave
Unit 1030
Lake Mary, FL 32746
Ph: (407) 519-0719
Fax: (407) 205-1951
email: info@phphouses.com
Rising home prices have been in the news a lot lately, and much of the focus is on whether they’re accelerating too quickly and how sustainable the growth in prices really is. One of the often-overlooked benefits of rising prices, however, is the impact they have on a homeowner’s equity position.
Home equity is defined as the difference between a home’s fair market value and the outstanding balance of all liens on the property. While homeowners pay down their mortgages, the amount of equity they have in their homes climbs each time the value increases.
Today, the number of homeowners that currently have significant equity in their homes is growing. According to the Census Bureau, 38% of all homes in the country are mortgage-free. In a home equity study, ATTOM Data Solutions revealed that of the 54.5 million homes with a mortgage, 26.7% of them have at least 50% equity. That number has been increasing over the last eight years.
CoreLogic also notes:
“…the average homeowner gained approximately $5,300 in equity during the past year.”
The map below shows a breakdown of the increasing equity gain across the country, painting a clear picture that home equity is growing in nearly every state.
This may be the year to take advantage of your home equity by applying it forward, either as you downsize or as you move up to a new home.
Contact us:
PHP Houses
142 W Lakeview Ave
Unit 1030
Lake Mary, FL 32746
Ph: (407) 519-0719
Fax: (407) 205-1951
email: info@phphouses.com
Contact us:
PHP Houses
142 W Lakeview Ave
Unit 1030
Lake Mary, FL 32746
Ph: (407) 519-0719
Fax: (407) 205-1951
email: info@phphouses.com