search foreclosure information

New to Avoid-Foreclosure-Services? Here you'll find a free answers to foreclosure questions and how to stop foreclosure!

help prevent foreclosure Simply quote your foreclosure refinance and receive a free advice from foreclosure specialists. You have nothing to loose. Compare ways to stop foreclosure safely and securely.

Relevant searches
What other people who read this article are searching for:


  • Stop Foreclosure Loans
  • Stop Loan Foreclosure
  • Foreclosure Bail Out Loans
  • Foreclosure Help Loan Stop
  • Foreclosure Loans
  • Illegal Foreclosure
  •  

    Can You Really Afford That Mortgage?
    by Jeremy Morgan


    Remember all those crazy adjustable mortgage rate deals a few years ago? Good thing
    you weren't one of those schmucks, right? Many excited young couples leapt on to the
    ARM bandwagon, enticed by low rates and less money down. Now the word of the day is
    "foreclosure". With so many people bailing out, you just might find a good deal out
    there. But are you going to get in the same trap they did?

    Many people try to "cheat the system" to get loans approved. I don't mean this
    in the illegal sense, but they fudge the numbers a little, or find a snaky broker
    to push something along they may not be able to afford. Keep in mind these safeguards
    are there for a reason. Sure, companies don't want to lose their money, but when they
    tell you no, they're also protecting you.

    Good lending institutions employ underwriters to handle their loans. Underwriters evaluate
    the risk involved with loaning you money. Essentially they tell the lender whether or
    not it's a good idea to lend to you. Don't take it personal, it's a very exact method
    to determine the amount of risk involved. Without underwriters lenders wouldn't be
    able to stay in business long enough to help you.

    Two institutions, FHLMC (Freddie Mac) and FNMA (Fannie Mae) set the guidelines for most
    lenders. Lenders sell their loans on secondary mortgage markets to these institutions,
    who then resell the loans to investors, insurance companies, and banks. Lenders who keep
    their loans, or "Portfolio Lenders" have more flexible standards, and don't neccessarily
    comply with Freddie or Fannie's standards. Don't stop at just one. Shop around.

    They put you under the microscope to evaluate the risks involved. The first step of course
    is obtaining a credit report (something you should do first). So what are they
    really looking for?

    1. Integrity - Obviously they want to know: do you pay your bills on time? Have you paid
    late? Have you defaulted? Chances are if you don't treat your other obligations with respect,
    you might not hold your word on this loan either.

    2. Your Job - Your income and job stability are very important as well. Are you a seasonal
    worker? Are you in an industry or at a company that is circling the drain? These factors
    are examined, because without a job, you can't pay back your loan. Income is large consideration
    here. Which ties in with:

    3. Debt to income ratio - Again, can you really afford this loan? Are you already over your head? They
    want to know. DTI is determined by comparing your income to your homeowner expenses.

    4. Property value - They want to make sure you aren't buying junk property. This is what
    your loan is backed by, and if you bail out, they don't want to be stuck with overvalued junk.
    Which ties in with:

    5. Loan to value ratio - This is another simple formula, how much are you borrowing compared
    to how much the property is worth? This is why the bigger the down payment, the better your
    chances are of getting approved. When you minimize LTV, you improve your risk rating.

    6. Savings - How much do you have saved up? Do you have any liquid assets, stocks or bonds?
    Lenders like to see a 4-6 month reserve, in case of emergencies. But you can get away with a
    3-4 month reserve if you put down more money. A low LTV will lessen the need for a higher
    cash or asset reserve.

    So this is what underwriters are looking for when they estimate the risk involved with loaning
    money to you. It's not a mysterious method, or one that discriminates you, it's simply based on numbers, and your ability to pay,
    and likelihood of sticking it out. Remember, people get laid off, kids get sick, and unexpected situations arise. Don't put yourself so close to the edge that one of these conditions prevents you from making payments. Be honest, and don't try to make things up that might give you an edge, because you just may find that you really can't afford that loan, and you'll end up hurting in the end when you foreclose.

    Jeremy Morgan is a financial author and runs the mortgage rates blog and contributesadvice and articles in the financial industry.

    More info on your stop foreclosure information search:

    Get Free Foreclosure Advice and Free Refinance Quotes
    Get your free on-line foreclosure refinance quote and free advice from foreclosure mitigation specialist in minutes. Compare real offers from top national subprime and hard money lenders... more...


    Pros and Cons of Altering the Bankruptcy Code to Help Judges Fight Foreclosures
    One of the more creative plans put forth by legislators as an effort to alleviate pain in the housing market and stop the rising tide of foreclosures has been to alter the bankruptcy code. This would allow bankruptcy court judges to reduce the principal balance on mortgage loans, bringing the ... more...

    Loan Programs to Stop Foreclosure
    Homeowners facing the loss of their homes due to a financial hardship often rely primarily on getting a new line of credit to stop foreclosure. In effect, they are trying to solve a debt problem by taking on more debt, refinancing their mortgage or taking out a personal loan or car title loan to ... more...

    Government at Every Level Will Not Help Homeowners Stop Foreclosure
    Now that the banks and local governments are finding themselves in serious danger due to the housing crisis, they have been working together even more visibly than they always do. Mortgage companies experiencing defaults in record numbers are having a difficult time remaining solvent and have ... more...

    Stop Foreclosure Eleven Different Ways
    The list of various methods to stop foreclosure that is presented in this article is a nearly comprehensive accounting of the most common ways homeowners can use to save their homes, either by staying in them and avoiding foreclosure, or by getting out of a bad situation with as much of their ... more...


    More on stop foreclosure loans...

     

    avoid foreclosure services
    Home
    search foreclosure info answers
    Search
    about  us
    About
    privacy policy
    Privacy
    terms of service
    Terms
    contact us
    Contact
    information for doeclosure specialists
    Agents
    Foreclosure Refinance: Stop Foreclosure Refinance , FHA Foreclosure Refinance, VA Foreclosure,
    Ways to Stop Foreclosure: How to avoid losing your home, Foreclosure Help Loans, We pay cash for houses, Foreclosure Mitigation, stop foreclosure in Alabama, stop foreclosure in Alaska, stop foreclosure in Arizona, stop foreclosure in Arkansas, stop foreclosure in California, stop foreclosure in South Carolina, stop foreclosure in North Carolina, stop foreclosure in Colorado, stop foreclosure in Connecticut, stop foreclosure in Dakota, stop foreclosure in DC, stop foreclosure in Delaware, stop foreclosure in Florida, stop foreclosure in Georgia, stop foreclosure in New Hampshire, stop foreclosure in Hawaii, stop foreclosure in Idaho, stop foreclosure in Illinois, stop foreclosure in Indiana, stop foreclosure in Iowa, stop foreclosure in New Jersey, stop foreclosure in Kansas, stop foreclosure in Kentucky, stop foreclosure in Louisiana, stop foreclosure in Maine, stop foreclosure in Maryland, stop foreclosure in Massachusetts, stop foreclosure in New Mexico, stop foreclosure in Michigan, stop foreclosure in Minnesota, stop foreclosure in Mississippi, stop foreclosure in Missouri, stop foreclosure in Montana, stop foreclosure in Nebraska, stop foreclosure in Nevada, stop foreclosure in New York, stop foreclosure in Ohio, stop foreclosure in Oklahoma, stop foreclosure in Oregon, stop foreclosure in Pennsylvania, stop foreclosure in Tennessee, stop foreclosure in Texas, stop foreclosure in Utah, stop foreclosure in Vermont, stop foreclosure in Virginia, stop foreclosure in Virginia, stop foreclosure in Washington, stop foreclosure in Wisconsin, stop foreclosure in Wyoming
    Foreclosure Laws: How to avoid losing your home, Alabama, Alaska, Arizona, Arkansas, California, South Carolina, North Carolina, Colorado, Connecticut, Dakota, DC, Delaware, Florida, Georgia, New Hampshire, Hawaii, Idaho, Illinois, Indiana, Iowa, New Jersey, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, New Mexico, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New York, Ohio, Oklahoma, Oregon, Pennsylvania, Tennessee, Texas, Utah, Vermont, Virginia, Virginia, Washington, Wisconsin, Wyoming
    Avoid-Foreclosure-Services.com is a free tool to find foreclosure information when your need it most. Avoid-Foreclosure-Services.com is not a lender, broker, foreclosure mitigation company, or affiliate of any foreclosure financial services. © 2007-2008