the dawn difference

I re-blogged you.  Our disgraced former Attorney General had a plan to get people with legal training involved to help the homeowners losing their homes.  The homeowners can't afford lawyers if they can't afford their mortgage payment but the banks have been able to afford lawyers to foreclose all along.  Even when they were asking for a bail out the banks  had legal departments foreclosing rather than departments trying to modify loans. 

I read about a sheriff in Michigan who was not foreclosing anymore.  I can not remember his reasoning.

Some of these mortgages ought to be modified.

Dawn~ I would agree that the system is brokem; however, what is to keep those who can pay their mortgage from stopping just so that they can live in their homes for free also? While I believe that there are homeowners who deserve a loan modification or some other arrangement to help them, I have a hard time understanding that how having no recourse for prople who don't pay (and who can) will help. My head spins every time I think about this mess.

Maureen, Thanks for the reblog! I have found that there is a horrendous ordeal awaiting anyone facing foreclosure. I have learned a lot through helping others - hours of waiting on phones, ambiguous guidelines that change at whim, impossible to find negotiators, ridiculous hoops to jump through. I can't believe the banks would prefer foreclosure...but the results suggest otherwise.

LaShawn, Generally, I think those who can pay their mortgage do - it's too scary not to pay your mortgage. The banks aren't turning down people who can pay their mortgage...they are not working with the true hardship cases whose loans doubled or who got so far behind that they can never catch up without a huge downpayment. The people who can't refinance due to the value dropping or their credit damaged from job loss or ill health. I appreciate your point of view, but all the people I have been working with are getting no help from their lenders. What burns me the most is all the money spent on useless programs like HOPE for Homeowners and the TARP money to the banks, with no substantial aid to people who are really trying to work out problems - they want to do whatever it takes to keep their homes.

That's why I am promoting this video. Those who cannot afford legal help can get aid if they ask, and those who haven't even thought of seeking legal aid MUST do so asap - they have much more chances of keeping their homes if they do. In my opinion, the deadbeats will walk away and get what they deserve - my concern is people who are going through a hard time because they got a terrible loan or life kicked them - I hope they will keep trying to the end. This is an embarrassing, painful, and confusing process.

The banks will lose the money if a house is foreclosed, so why don't they renegotiate the principal and interest, keep the owner in place and work it out that way? They will make much more money and not be seen as such vultures.

Hi Dawn - Great post.  These are troubled times and those who are facing foreclosure are in the most trouble.  They need legal assistance in order to stay in their home and should pursue assistance at the first sign of difficulty.  I agree that banks holding the note and especially those who are getting bailout money should work with people to modify loans and help them stay out of foreclosure.  It's time for our state legislature to step up and protect home owners; after all, isn't the state seeking bailout money also.

great post Dawn.  It is time for government to really start to stand up for homeowners!  Thanks for sharing this with us!