Bank of America has launched a nationwide program that offers delinquent mortgage customers increased assistance with relocation expenses – from $2,500 to $30,000 – at the completion of a qualifying short sale.
To qualify for the enhanced relocation assistance payments under the new program, the seller must work proactively with the bank to obtain a preapproved sales price prior to submitting a purchase offer to the bank. A short sale must be initiated by the end of 2012 and close by Sept. 26, 2013, to be eligible for the payment. Qualifying short sales that have already been started but have not closed may be eligible for the relocation assistance.
Initially, the program will be offered on mortgages that are owned and served by Bank of America. Currently, the percentage of loans that qualify for the program is 8 percent nationwide.
http://www2.realtoractioncenter.com/site/R?i=9SkYMMUWJORJ5pAdh1CeLQ
The national mortgage delinquency rate (the rate of borrowers 60 or more days past due) increased for only the second time since the end of 2009, edging upward to 6.01 percent at the end of the fourth quarter 2011, according to TransUnion.
Between the third and fourth quarters of 2011, all but 13 states experienced increases in their mortgage delinquency rates. On a more granular level, 64 percent of metropolitan areas saw increases in their mortgage delinquency rates in Q4 2011. This is the same percentage as found in Q3 2011, but up from Q2 2011 when only 21 percent of MSAs experienced an increase.
“There tends to be a natural seasonality, evident well before the recession, of higher delinquencies in the fourth quarter, perhaps explained by borrowers balancing holiday spending vs. debt payments,” said Tim Martin, group vice president of U.S. Housing in TransUnion’s financial services business unit. “On the economic front, house prices continued to deteriorate in the fourth quarter and unemployment remained stubbornly high. This combination leads to more negative equity in homes and reduced real personal income that can affect borrowers’ ability and willingness to pay their mortgages.
“The more encouraging news is that, when looking year over year, more homeowners are making their mortgage payments and the delinquency rate dropped more than 6 percent since Q4 2010. While it is certainly good to see the rate dropping, at this pace it will take a very long time for mortgage delinquencies to get back to normal.”
More info
The New York Times
Those who have issues with their mortgage lenders now have another place to take them: The Consumer Financial Read the full story
http://www.nytimes.com/2012/01/29/realestate/mortgages-on-troubleshooting.html?_r=1&ref=realestate
San Diego Union-Tribune
The number of loan servicers taking part in a state mortgage-aid program continues to grow roughly one year after its launch. The Keep Your Home California program now has 55 participating mortgage servicers, up from 21 in June.
Read the full story
http://utsandiego.com/news/2012/jan/10/more-lenders-added-calif-mortgage-aid-program/
In most cases, it is easier to qualify for a home mortgage by applying with another person – be it a spouse or partner, or even a close friend or sibling. But problems may arise if the other person’s credit score is less than stellar.
Read the full story
http://www.nytimes.com/2011/11/27/realestate/mortgages-when-a-co-borrower-has-poor-credit.html?_r=1&ref=realestate
