Stop Foreclosure Answer

I just want to warn you. What I have to say today may disturb you. These statistics are really frightening.

The Center for Responsible Lending just estimated that from the beginning of 2009 to June 1 over 1 million new foreclosures have been filed in the United States. That is just about 200,000 a month.

There is a new foreclosure every 13 seconds.

6,500 new foreclosures start every day.

2,400.000 foreclosures will start in 2009.

2009 property values will drop by $502 billion.

By the end of 2012 there will be 9 million new foreclosures.

Property values will drop $1.9 trillion by the end of 2012.

What does all this mean?

First – it is going to be very difficult for mortgage companies to keep up with the requests for loan modifications that they are going to receive. They are going to have to increase the size of their staffs tremendously to handle the volume.

Second – The amount of time it is going to take to get a loan modification is going to be very long.

Third – With new inexperienced people at mortgage companies working on these files, the quality of the work will be questionable. The modifications that will be made will probably not be as good as they can be. Many people facing foreclosure may not be offered as low a monthly payment as necessary based on their circumstances. The number of people defaulting again will continue to remain high.

General Motors has just declared bankruptcy. 21,000 of their workers will be let go nationwide. Many of General Motors’ suppliers will be forced to downsize too. No one knows how many of their employees will be let go. Some of these people will be facing foreclosure. Did the Center for Responsible Lending include these in their estimates?

The picture is not good. Much trouble lies ahead. If you are facing foreclosure, you want to do all you can to protect your family and save your home. Don’t try to do it yourself. Get help from a lawyer or an expert.

Much Success,

Marl Elkins