“Dear Steve,
emailed you several months ago about a mortgage relief organization that had approached an old HS buddy in So. Cal. with proposed settlement ideas. You and I both did some research on “results for homeowners.com”, found they had no operating license in Ca., nor were they operating in the City of Costa Mesa according to city records. They reeked of a scam, you and I both thought so. I didn’t get involved with them and informed my friend of what we’d discovered. They’d already paid their $3K “fee” with results and stayed with them. Turns out we were wrong. Chase settled with my friends, they’re keeping their property, the $3K is being refunded, and they’re at the <30% rule. Your advice was to look at a re-fi as rates are so low. I can't afford the pts. required for any low interest rated loans...most are 40 yr. fixed to even get close to the <30% rule.
So Steve, should I re-engage Results, or continue on the dice roll knowing I've 2 yrs. left before my 30 yr. fixed, 1st 10 interest only rolls?
Jim"
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The Answer
Dear Jim,
According to a recent commenter the company provided them with a corporate registration number but that led to a different company named 1st Choice Document Preparation, LLC.
It’s not clear from your question, the exact type of service they are trying to sell you. If they are assisting you with a possible modification they cannot collect any advanced fee. If they are assisting you with a possible foreclosure, according to the California Department of Justice website they are not registered to perform such services under either 1st Choice Document Preparation or Results for Homeowners.
Do what you want but you would think the Results for Homeowners website would be more open and transparent. They still do not appear to list the alleged connection with 1st Choice Document Preparation, a street address or even have a registration to do business in California under Results for Homeowners.
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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