“Dear Steve,
Retired on pension of 48K/yr. , mortgage held by B ob A, from Countrywide..Loan is 30 fixed 1st 10 interest only, will roll over in 2 yrs. and payments PITI will be ~ 2800/mo. no way I can pay that, as I’m too young to open SS, and will not till 66. I am current on everything, have no impound account and pay all taxes and ins. Have been turned down by B of A, three times since I’m current. Bank told me to “pay it down”. That’s not possible.
Learned of a service that an old high school buddy and his wife have signed up with. Organization, out of Newport Beach, Ca. is called Results For Home Owners.com. I’ve tried finding them through the City of Newport Beach, and they’ve no business license on file for these folks, hence no mailing address on file. Who are these people? Chase Bank has told my friends that these folks are legit. but I’m unable to discern that. What can you tell me about this organization?
Jim”
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The Answer
Dear Jim,
First off we need to get clear on the fact that there is no requirement for any mortgage company to modify any mortgage for any reason.
It sounds like your mortgage product stinks and the ten year deal was always going to potentially explode a decade in the future.
Wouldn’t it make sense, as low as rates are, to refinance your mortgage into a fixed rate product? There are great deals out there now. Rates are historically low.
Alternatively, maybe the reality is you just can’t afford the home. It could be time to sell and rent something more affordable on your reduced income. Renting is much cheaper than owning when you factor in the benefit of flexibility and the reduction in ownership expenses.
I took a look at the Results for Homeowners site at resultsforhomeowners.com and there are some red flags that worry me. As you observed, they don’t list where they are located. That’s a huge red flag. Why would any legitimate company hide that? – Source
Even their domain ownership records are hidden and it looks like the domain name resultsforhomeowners.com was only registered on February 4, 2012. That’s not much of a track record to bank on.
Even their “about us” page doesn’t say anything about them. – Source
They don’t even say what the company name is. And if we go on the fact they may be located in California, the State of California has no registered company under that name that is authorized to do business.
Frankly from what I’ve seen I would be VERY reluctant to send anyone to this company. The red flags keep piling up and it doesn’t look good that this site and company is either experienced, is not operating transparently, and seems to be primarily selling services rather than being open about who they are. in fact I’d call your good buddy and make sure he did NOT pay any money in advance to this company without checking them out.
I applaud your research you did on this company and think you are being a smart shopper.
I welcome any comment they may want to add to this story to help shed some awareness about their legitimacy, experience, where the company is located and who the owners are. Until then, my advice is to run away.
Below you will find some free resources you can use to explore mortgage help with without having to spend one penny.
Mortgage Help
Be sure to first read How Not to Get Scammed by a Mortgage Loan Modification Company.
Debt-to-Income Calculator
First you’ll need to determine your current debt-to-income ratio. The target debt-to-income ratio under the Home Affordable Modification program is 31%. Use this free online DTI calculator.
Mortgage Modification Calculator
The mortgage modification eligibility calculator will ask you several questions and then show you which programs you may be eligible for.
The free mortgage modification calculator can be found here.
Free Mortgage Modification Help and Counseling
If you have questions about the process or eligibility you can call 888-995-4673 and get connected with an mortgage modification adviser for free. This help is provided by government subsidized HUD Housing Counselors and they can be a big help in navigating the modification process.
In order to assist you, the housing expert will need to gather some information from you. Have the following documents handy:
- Information about your first mortgage, such as your monthly mortgage statement.
- Information about any second mortgage or home equity line of credit on the house.
- Information about the monthly gross (before tax) income of all household members contributing to pay the mortgage, including recent pay stubs if you receive them or documentation of income you receive from other sources.
- Information about your savings and other assets.
- Account balances and minimum monthly payments due on all of your credit cards.
- Account balances and monthly payments on all your other debts such as student loans and car loans.
- Your most recent income tax return.
- It may also be helpful to have: A letter describing any circumstances that caused your income to be reduced or expenses to be increased (job loss, divorce, illness, etc.), if applicable.
You can also get free help and housing counseling from a local HUD approved counselor. You can find your local free housing counselor, here.
Contact Your Mortgage Company
Not sure if your mortgage company offers modification programs? Not all do. You can contact your mortgage company to ask them about mortgage modification programs you might be eligible for. Click here to find your mortgage company.
NPV Calculator
Want to know the net present value (NPV) of your home for the mortgage modification process? No problem, use the free NPV calculator to find out. The NPV calculator is right here.
The calculator can be used by homeowners who have been denied a HAMP modification because of their NPV result or can also be used by homeowners prior to applying for a HAMP modification to help them better understand the NPV evaluation.
No Advance Fees
The Federal Trade Commission has a Mortgage Assistance Relief Services Rule which prohibits advance fees for mortgage rescue services or mortgage modification help.
Please post your responses and follow-up messages to me on this in the comments section below.
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