by SpringFour | Dec, 11, 2012 | Default
Mistakes are the portals of discovery. ~ James Joyce.
Ah yes, mistakes. We all make them. We hate them–especially their inevitability. But even the most negative of folks know that they don’t leave us where they found us.
So it goes with the Housing Crisis. No matter what your politics, if you are servicer or foreclosure counselor, struggling homeowner or landlord, we can agree that the mortgage and housing markets needed to be repaired.
A recent article in The New York Times made us think about housing system flaws that are coming to the forefront. It discusses how a Catch 22 is sending quite a few widows into untimely foreclosure: these women can’t get help lowering their payments until they are named on the mortgage note…but they can’t add their name until they are current on payments.
No doubt surviving spouses have been battling this issue for years. However, it took the Housing Crisis, the focus on foreclosure, and the sheer number of victims to cause consumer advocacy groups and even some heavy hitters in the mortgage servicing industry to take notice. And change, while perhaps slow to come, is coming. Crisis always leads to opportunity.
by SpringFour | Dec, 3, 2012 | Default
After last week’s Thanksgiving feasting, we read a thoughtful article in the New York Times about hunger. It mentioned that 1 in every 8 Americans is hungry.
(This humble blogger once worked for an organization in Ohio that focused on feeding hungry children. There the stat for hungry children was 1 in 4.)
It seems inconceivable. With the focus on obesity and keeping weight down, it’s hard to fathom that others–likely people we see in line at the store, walk past on the street, or even work with–might be going without the food they need.
Here at MortgageKeeper, our experience supports these troubling numbers. Our application’s “food assistance” category is consistently one of our top 5 most utilized. Specifically:
* Referrals for food assistance have reached nearly 100,000 in 2012–an average of more than 300 every day.
* 14% of households who worked with a nonprofit financial counselor needed help to afford food.
* A straw poll of counselors who use our product validates a point made in the New York Times article: that many people–especially families with young children and seniors–don’t know that they qualify for food assistance.
This holiday season, instead of worrying about how to keep those extra pounds off, we do better by donating to our local food banks. Or, better yet, volunteering. We encourage you to find your local food bank and see how you can help.
by SpringFour | Nov, 7, 2012 | Default
This week, we present an interview one of our clients, Rick Harper. Rick is Senior Vice President of Program Services with Consumer Credit Counseling Service of SanFrancisco. He’s worked for CCCS since 1994, and holds his J.D. and real estate brokerage license from the California Department of Real Estate. We consider him a housing expert, and someone who understands first hand the impact of the housing crisis on struggling homeowners. We hope you enjoy his insights.
Some studies are showing the housing crisis is nearing an end, while others say it is still going strong. What’s your take on things?
Definitely we have seen less demand for foreclosure and loss mitigation counseling this year than in the previous four years. With that said, we anticipate 2013 to be another difficult year for over a million families who are still trying to recover from this great recession and who run the risk of losing their homes to foreclosure.
What’s the best and most rewarding part of the counseling process for you?
Recognizing and appreciating the successes that my staff has each day working with families who are struggling to save their homes. Our foreclosure prevention counselors have the hardest job within our agency. Every day they must face family after family in crisis. They are the real heroes and I take a great deal of pride in observing their genuine kindness towards the families who come to them for assistance.
What advice would you give someone who is struggling to pay their mortgage loans?
Seek help as early as you can in the process and don’t be dismayed if your initial attempts are unsuccessful. Contact yourlocal HUD approved housing counseling agency and/or call the 888 995HOPE hot line. The process itself eliminates many families that might otherwise qualify for assistance. It is heavily “paper laden” and as unreasonable as it might seem to a family in crisis, the collection and submission of this paperwork is absolutely essential. Without a complete package of documentation, no decision for help will be made. Every document requested, no matter how superfluous, must be provided. Families should seek out HUD approved counseling agencies for assistance with the documentation and the process in general.
How do you think local resources help struggling borrowers? Do you have any anecdotes?
Families in crisis often turn to those they know and trust as a first response. Local community resources can assist clients in crisis by ensuring that there is a safety net available. Some organizations can help transitioning families find suitable and safe rental housing, while other resources that help reduce the cost of things like utilities, prescription drugs, and good are great and have tangible value for many homeowners.
With changes made during the housing crisis, do you think struggling borrowers have more options available to them than before? Or is the climate for a struggling borrower unchanged?
There have been across-the-board improvements over the initial government programs designed to assist these families. The HAMP and HARP programs have been modified to allow a greater number of families to participate. Enhanced financial incentives to servicers with such incentives tied to specific timelines and outcomes, have also given rise to greater retention and non-retention options for homeowners. There has been an attempt at the standardization of the loan modification and short sale processes and this also has had a very positive impact. In summary,
there are more options today for the foreclosure counselor and his or her clients, than there were four years ago.
Who is your favorite James Bond?
This is a no brainer – Sean Connery – the original
by SpringFour | Oct, 29, 2012 | Default
We work hard here in the MK Blog Department to give you insights into the housing and mortgage industry. But today, we thought we’d give you some insight into our company.
A good place to start is by taking a look at our latest razzle-dazzle–a new release of MKDesktop. The brand new version 2.0 is demonstrated here via video by our dedicated VP of Sales. You’ll see how MKDesktop 2.0 gives housing counselors, single points of contact agents (SPOCs), customer service reps–anyone who offers a helping hand to those in need–a tool that gives them super powers.
MKDesktop gives reps lists of vetted, best in class, completely reputable nonprofit and government agencies who are in the business of easing the path for struggling homeowners. In most cases, these uber-helpful agencies are located within a few miles of the homeowner in need. On top of that, these referrals can lead to monthly savings of $100-$400 for the homeowner. (Sounds pretty super, doesn’t it?) It’s a great tool for any agent arsenal.
In fact, users have called it “invaluable” and “a total game changer.”
See for yourself.
by SpringFour | Sep, 10, 2012 | Default
The MK gang loves politics. We’ve personally met both candidates, we read about it, talk about it, and the conventions were almost as eagerly anticipated as season three of Downton Abbey.
But we asked ourselves after the conventions ended and we brushed the fictional confetti from our shirt sleeves–why didn’t anyone talk about housing? What about foreclosure? Hello…short sales anyone?
Our heroes at The Wall Street Journal noticed the same thing. And, yes, it wasn’t our imagination…the whole issue went untouched by both parties. Turns out although it is the issue largely to blame for our economic woes, it is also not a glamorous topic for the candidates to hang their hats on.
Let’s hope it gets some airtime during the debates.
by SpringFour | Aug, 12, 2012 | Default
Now here’s an idea to beat the housing crisis blues: collective homeownership. Yep, that’s right. You and a friend, or you and your spouse and another couple, find a home and purchase it together.
National Public Radio’s Marketplace program featured a story about two Brooklyn couples who are now proud owners of a home. Together. And some housing experts say that these couples might be crazy like foxes:
“…collective home ownership is not totally insane. And here’s why: Mortgage rates are at an all-time low. Rents continue to rise. And banks, well, if you haven’t heard the news, they’re not handing out many loans these days. So to get the home you want, in the neighborhood you want to live in, pooling financial resources can actually make sense.”
Now, my husband and I have never even vacationed with friends–let alone lived with them. But the idea might have merit under the right circumstances. The couples profiled by NPR lived in a darned expensive housing market, and this arrangement made their homeownership dream a reality.
What about you? Could you live harmoniously with three or more other people in a home you all owned together? Is this an option that would make sense?
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