Congratulations Barack Obama As Our Nations 44th President

Last evening, I turned on CNN around 7pm MST, and saw that Barack Obama was up almost 100 electoral votes on McCain and climbing readily. The news anchors could not outright say the election was over, so the Republican Party could save face. But it was a bloodbath in my opinion, and it was clear that our 44th President had been elected long before the polling was complete. With 1 out of 3 people saying that the economy is the number 1 concern for Americans, Barack Obama will have his hands full in trying to turn this mess around. 11 trillion dollars in debt, record foreclosures, low GDP numbers, highest unemployment rates in 5 years, tightening of credit, both personally and commercially, record high oil prices, should I go on? Let’s keep it simple to the point shall we. This is a mortgage broker blog, so I am only going to focus on housing and mortgages. Barack Obama has proposed a 90-day moratorium on homeowners struggling to make good on their mortgage payments. What this means is that if the banks were considering foreclosing on their homes, they will have a 90 day protection period to get themselves financially back on track. Barack Obama also has approved the 700 billion dollar government bailout package, in addition to cracking down on predatory lending. Personally this is exciting because I now will be given the opportunity to help more people through special loan products like FHA secure. I can help people get into a home with 3% down, and have them get a $7500 tax credit. I can assist people in finding FREE ways to keep their homes through loan modification companies that charge no money. I really feel that we will see a change in our economy and that 2009 will be a thawing of the freeze of 2008, however I think that we will rebound in the next couple of years. Barack has proposed tax cuts for people making under $200,000, tax credits for employers of $3000 for each new hire, and people will be able to withdraw up to $10,000 from their retirement accounts without being taxed, to get through this downturn. All in all, he commented that the root cause of all of this is that people were living beyond their means. No money down loans, super appreciation in markets, cash out refinances to pay off debts, increased spending, etc, are some examples. We should all take a close look at what is happening now and why, and learn from this experience.

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Be Weary Of Loan Modification Companies Charging You Additional Thousands!

It is no question that a big reason the housing crisis started is from unscrupulous lenders lending money to people with no capability of paying those loans back. Stated income, no doc loans, no asset loans etc, got a lot of people in trouble, and made the State of Colorado stomping grounds for every state in the country to market to use, these bad loans. It is no surprise Colorado has one of the most complex licensing requirements for mortgage brokers now, and that it is so strict, that many other states are copying our model, because it is so good. But another scam has popped up, and it is being marketed to consumers as a way for them to save their home through loan modification. These net branch like mortgage companies are popping up everywhere and charging these people who are delinquent on their mortgage anywhere from $1000 - $3000 as a fee for them to rework their loan. Basically all they do is take your income and asset information, present it to the loss mitigation department, and if they agree to a loan workout, you get to keep your home, for now. Obviously you need to make your payments, and will need to make a few payments under a special forbearance to qualify for a loan modification, however what no one realizes is, you can do this for FREE! Yes free, either by calling your lender or speaking to loss mitigation department or by calling the HOPE now alliance, you should not be paying anyone a DIME! I have spoke to a few loan modification companies, and their pitch to me is, that these people aren’t paying their mortgage for months, so they have this money earmarked somewhere. What’s a $1000-$3000 to me, to help them save their home, if they haven’t been paying their mortgage anyway. The bottom line is when there is blood on the street, someone is making money. If there is ever a fear or void in this market, you bet someone will be there with a quick fix to rip you off. I am not saying all loan modification companies are bad, but what I am saying is that borrowers need to get involved with their loans, and call their lenders. If they are afraid to call them, and get a mailer in the mail, it is easy for these con artists to hustle a couple of grand from them. Buyer bewares! If you have any questions or would like the telephone numbers of legitimate loan work out companies for FREE, please give us a call!

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