Merry amir , Home Buyer in Santa Clarita, CA

I received notice of default. What should I do now? I will appreciate your advice.

Asked by Merry amir , Santa Clarita, CA Wed Jul 8, 2009

I live in Valencia, California. I faced serious losses in my business and still struggling to keep it alive. Now I have a job and make less than half of the money I used to make. I missed three mortgage payments. I tried to contact lender three times in last two months and hired a broker who also sent couple faxes and tried to resolve this situation. But the mortgage company did not acknowledge any of my correspondences. I requested for loan modification and submitted all requested papers fax to Indy Mac, than call them to ask about loan modification papers. But representative said the line is long and we have to wait for our turn. After 2 months lender send me a notice of default. What should I do now? I will appreciate your advice.

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Brian Head, , Orange County, CA
Mon Oct 31, 2011
Once you receive a Notice of Default the clock starts on how long you have left before you have to move out of the house. The first thing you want to do is contact your bank and see if they can restructure your loan through a modification. Don't get excited about any principle balance at this point but you could get an affordable payment if submitted properly. One thing many home owners don't realize while they submit the financials is; the bank wants to see a surplus in your income before the modification. In other words, show your lender that your have a small surplus in cash flow after paying your current Mortgage, Utilities, Consumer debt, groceries, etc... The rates are the lowest they've been in several years so the bank could be motivated to work something out with you. The frustrating part about this tactic is; It takes several months usually to get a modification done and many times the modification simply does not get done.

Short Sale- Contact a local Real Estate Professional in your area and determine what the market value of your property is today. Determine how upside down your equity position is on the house determine then what the bank would take on a discounted price. One thing you need to be aware of is whether your current loan is a Purchase money loan or a cash-out refinance. Please consult with a Real Estate Attorney or CPA on your potential tax obligations in this matter

Deed in Lieu of Foreclosure- This is simply walkng away from your house without any issues for the lender to pursue a trustee sale, or get involved with an ugly eviction process. many times a Lender will offer cash for keys.

You can attempt to delay the sale date through a trustee sale verification process. Contact me if you want the name of a reputable company that can perform this service.

The sad reality is that at the end of the day the bank will take your home if you don't do something to prevent it. Many homeowners now are starting to fight back through litigation. As it turns out, the banks have been bypassing some legalities in the haste to foreclose on about 2.3 millions homes so far. If your Attorney can have a securitization audit done by Lighthouse Consulting Group which includes a Mortgage Scene investigation that uncovers several factors in the Foreclosure process. For example: Robo Signing, Back-Dated Assignments, Fraudulent Declarations and Affidavits. Securitization is the fastest growing tool in this area of Real Estate Mortgage Litigation.

If you have any questions please feel free to contact me directly. Brian Head at 714 486-0652.
Or, 1 800 529-2959 Ext. 1002.
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Jesse Sierra, , Chino Hills, CA
Sat Jul 11, 2009
Be aware of scammers.
Here is a link to home counselor that might be able to help.
They are HUD approved.…

Best of luck,
Jes S.
0 votes
Benton Team, Both Buyer And Seller, California
Sat Jul 11, 2009
We will buy your house! No cost to you!

We need to get more information about your house and if it fits our criteria, we will buy it from you. If it requires a Short Sale negotiation with IndyMac we will handle all of those details. There is absolutely no cost for you to work with us. During the negotiation process, you stay in your home, and save the funds you would have normally spent.

Contact me with any questions or concerns,

Max Hunter
Benton Team
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., , Los Angeles, CA
Thu Jul 9, 2009
You have the entire world in your corner and just need to know where to attack the lender. They may be found to be operating unlawfully through an ABS trust. A working relationship with whoever won’t help you.

Some of you may remember me. I gave the readers of Trulia the inside scoop if you will, over a year ago and that’s documented. I moved on. But the abuse I took from readers and Trulia management was obscene. You questioned the short sale misrepresentations by lenders, questioned our victories in and out of court. Failed to see the significance of our arguments. Did not want to hear about your rights to press allegations of unlawful activities by the parties. It was Polly Anna Thinking.

So, ask this question again....FAS 140-3 under FASB documented provisions for accounting for transferred assets. Also SEC commission enforcement of violations under 1122AB. We have documentation at your disposal. Just be aware and research things yourself. Lots of water tank philosophers and coffee-clutchers here looking to circumvent one rights. But it’s all good (I guess...Freedom of speech).

My point, write a loan modification the way you see the loan should have gone down..Not what they want to offer.

Good luck
0 votes
Thu Jul 9, 2009
I have a working relationship with IndyMac, which is now One West Bank's, senior management. I have successfully negotiated short sales with IndyMac / OWB, should that be the option required to reslove your hardship. I am currently assisting a client, where IndyMac / One West Bank services the loan for Fannie Mae, which has their own rules regarding Loan Modifications and Short Sales.

You have several options to avoid foreclosure, however now that the NOD has been issued you need a professional experienced in postponing the NOTS. I am experienced in anaylzing your financial situation, which will be required in order to show you the options & programs available to resolve your hardship. I am current on President Obama's Making Homes Affordable" Streamlined Modification Program" and can provide you guidance on this program.

Please feel free to contact me for a free consultation, this is a very complex situation with to many variables to provide you with an indepth answer to your question. At this point it's unnecessary to pay attorney fee's, should your situation require an attorney I have a great referral.

Gary Ricco, Certifed Distressed Property Expert
Keller Williams VIP Properties

Click on this link to read a blog I wrote in regards to foreclosures:…
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Margaret Ama…, Agent, Sarasota, FL
Thu Jul 9, 2009
In general after 3 months of non-payment lenders will commence foreclosure proceedings. It starts off with a Court summons and is recorded in public records as "Lis pendens". You want to answer the summons. If you can't afford a legal consultation at least write your own letter and mail it with registered mail. While this foreclosure process is going on - it can go on for quite a while months and sometimes years - during which time you may try to effect a loan mod, or short sale. You can do a loan mod yourself just communicate ontime with what is asked. You can also hire somebody to do it but be careful whom you hire and don't pay upfront fees that are not refundable if it doesn't work out. Do your homework. Rule of thumb: If your monthly gross income is less than the modified payment, you can't afford the home, Do a short sale instead with a Realtor specializing in this field.
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Anthony Allen, , District of Columbia
Thu Jul 9, 2009
When doing a loan modification having legal representation is the only way for someone to get moved to the front of the line. Mortage companies are swamped and unless you have the backing of the law on your side more time than not they will ignore your request.

I have provided a link to my company. For a low monthly fee you can get this representation in support of your loan modification. As well as review of your notice of default. The mortgage company has lawyers working for them, you need the same.

Please contact me with questions
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