I spent two hours today explaining to a very nice couple how the “Loss Mitigation Department" works when dealing with lenders.
The couple purchased a home one year ago, not fully understanding that they`ll need to pay their mortgage on time!
Back than the sub-prime lenders were in full bloom. Obtaining a loan was very easy!
They`ve missed 3 months of mortgage payments, the banks are sending them certified letters, which they refuse to acknowledge, thinking the problem will absolve.
They don`t have enough income between the two of them to continue paying the mortgage and i explained it was time to seriously think about moving.
It`s clear what will happen next , yet when I explained to them in great detail what will transpire they acted like I was overstating the truth. .
They want to hear they can just give the lender “BACK THE KEYS" without any problems. They purchased a home for $325,000 last year, the appraised value today is somewhere near $300,000.
They feel that they should be able to walk out of this ordeal without facing “The Music". . .
The banks expect to be paid. They`ll work with you in making this type of transition as easy as can be expected, but there are responsibilities that you the lenders out there need to understand.
In the case of this young couple they`ll ride it out with the lender until the lender throws them out of the house. I suggested they consult an attorney in order for the attorney to re-confirm what I just stated.
I left the home feeling so guilty like i was the “Bearer of Bad" news. In fact I was, which really ruined this young couple`s day.
florida list for less realty, inc.