Real Estate Market Not Doing Too GoodAccording to an article on HousingWatch.com, foreclosures are still on the rise, even though the government has tried to step in and help out. All My Sons of Maryland learned that according to RealtyTrac, 367,056 properties were filed as foreclosures in March. Apparently, foreclosures are going to keep rising despite federal foreclosure prevention programs that have approved permanent loan modifications for a third of a million borrowers. Some people are saying that these programs aren’t preventing foreclosures, just delaying the inevitable and slowing down the timeline. Some experts believe that until banks reduce the principal owed on these homes, rather than just the interest, many homeowners will continue to struggle and maybe end up foreclosing.
The article continues to lay it all out in numbers: As of now there are about 6 million homeowners who are more than two months late on their mortgage. Of those 1.7 million borrowers are eligible for the federal home affordable modification program (HAMP). About 1.2 million of those have had their home loans modified through the HAMP program since it started about a year ago. Of those, 155,000 trial modifications have been canceled. 60,000 in March alone which will probably end up in foreclosure or short sale.
Some homeowners are saying that banks are becoming more difficult with these home loan modifications. They are requesting more information, they lose paperwork, issue contradictory threatening letters to drive borrowers to foreclosure.
There is some good news in all of this. The program’s remaining third of borrowers have been approved for permanent modifications to their loans, meaning they are changed to long-term, fixed-rate financing and lower monthly payments by an average of $500 for at least the next five years.
There are 4.3 million borrowers, among those who are two months late on their mortgages but who don’t qualify for HAMP. These include people who own mansions, vacation homes and investment properties or even loans to vacant properties.
The Maryland movers hope that this article puts things in perspective in terms of your personal home and mortgage situation. If you are facing the unfortunate situation of having your home foreclosed on, All My Sons of Maryland can help reduce the stress with easy moving services. We can help provide moving boxes for you through our online moving supplies website so you can have all the packing supplies by your door in no time. The local Maryland movers are professional and reliable, so you know you won’t have any added stress on moving day. Plus, you can get your affordable moving quote online to help you get started.