26% Of Homeowners Default Again After HAMP Loan Modification??
For certain homeowners, it’s like putting a band-aid over an infected wound. Loan modifications do lower payments, yet the payments are still above their means. In many states, the re-default rate of HAMP loan mods are about 32%+ with a national average of 26%.
Loan modifications often exacerbate the situation by creating a scenario where the homeowner would never be able to pay the home off. It also allows the homeowner to stay in a home that is more expensive than they realize. Please read Dave’s article here about hidden costs of homeownership.
Our housing market is recovering and many homeowners have already short sold their houses and bought their next one. They are also called “boomerang buyers.” They are currently building equity on their homes rather than staying in a home that will continue being underwater for years to come.
If you would like to more about whether a short sale is right for you, contact our experts here and we will get in touch with you within 24-48 hours.