FHS Regular Booklet

Page 1

SOLUTIONS FOR ALL

HOMEOWNERS WE HELP YOU KEEP YOUR HOME, SELL YOUR HOME, OR WE BUY YOUR HOME.

1-800-300-HOME (4663) FLORIDAHOMEOWNERSOLUTIONS.COM


ABOUT US

WHY CHOOSE FLORIDA HOME OWNER SOLUTIONS? As South Florida residents, we care deeply about our neighbors and community. We understand that, due to circumstances beyond our control, we sometimes find ourselves at risk of losing our most valuable investment, our home. Our families lost homes to the bank. This devastating experience inspired us to start Florida Homeowner Solutions, where we can serve as a free resource to families and homeowners who find themselves in the same situation. Navigating through the process can be an overwhelming and emotional task, but you don't have to go through it alone. We offer services FREE OF CHARGE that equip you with the information needed to avoid foreclosure and possibly keep your home. We also help others who need to sell their homes whether due to divorce, probate, or even fire or water damage. All you have to do is call us, and you will quickly learn what our only motivation is; to serve you and help you find relief. We specialize in helping homeowners of all types facing all types of issues with their properties. With our experience, we will help you keep your home if your lender will allow it. Not all lenders will allow a “workout” plan for you. So in some cases, your lender will decide if you get to keep your home or not. If not, then we will come up with the best financial solution for you to either sell your house or we will buy it cash if that is what it is inyour best interest.

1-800-300-HOME (4663)


WE ARE HERE FIRST AND FOREMOST TO HELP YOU KEEP YOUR HOME Florida Homeowner Solutions is here to help you and your family in any way we can. If you are wanting to keep your home a Loan Modification is the only way you will be able to keep your home. We will help guide you through the process to give you the best chance at getting your Loan Modification approved. Here is some helpful information to help you decide if a Loan Modification is for you……

1-800-300-HOME (4663) FLORIDAHOMEOWNERSOLUTIONS.COM


LOAN MODIFICATION FACT SHEET

LOAN MODIFICATIONS ARE BASED ON THE DIFFERENCE BETWEEN INCOME AND EXPENSES. If you are not currently employed, you cannot be qualified for a loan modification.

LOAN MODIFICATIONS TAKE BETWEEN 2-5 MONTHS. If you have been working with your bank for more than 5 months, they are most likely stalling the process in order to eventually foreclose on your home! If you are working with an attorney, paying them monthly, they are most likely stalling the process in order to make more money.

LOAN MODIFICATIONS THAT ARE APPROVED WILL HAVE HIGHER PAYMENTS IN 18-24 MONTHS! The payment that you agree to now will most likely not be the payment next year. 65% of homeowners that qualify for a loan modification go back into foreclosure within 18-24 months, so you would have to do this process all over again.

1-800-300-HOME (4663)


TIPS TO APPLY FOR A LOAN MODIFICATION Make Sure You Have Equity In Your Home If you don’t have Equity in your home, you would be overpaying for your property. It might not be a good idea to modify your loan and keep making payments. Some would say “you are throwing good money at bad debt”. Go To Your Bank Or Servicers Website To Print Out An Application You can also call you Bank/Servicer to ask for an application to be mailed or emailed to you. This may NOT be the same Bank that you took out the loan with. Whatever company name your Mortgage Statements come from is who you need to contact. You may have gotten your loan from Bank Of America, but now SPS Select Portfolio Services manages your mortgage. They are who you would contact. Make Sure You Have At Least 6 Months Of Employment The Bank is not going to allow you to apply for a Loan Modification if you cannot prove at least 6 months of income. Driving for Uber or Lyft will not qualify as employment. Any job without a weekly or bi-weekly paycheck will not qualify. Submit A Full Package With ALL Of The Required Documents Whatever paperwork your Bank/Servicer asks for is what you need to make sure you provide. If there are any missing documents it will delay the process. Do Not Agree To Escalated Payments Most Loan Modifications are approved with the payments at a lower amount today, but in the next 2-3 years, that payment could escalate and be much higher than it was when you were approved. This could cause you to back into Foreclosure.

There is NO guarantee that your Bank or Servicer is going to approve your Loan Modification. Less than 20% of Homeowners that apply ever get approved.


LOAN MODIFICATION WHAT IS LOAN A MODIFICATION

A loan modification is a permanent restructuring of the mortgage where one or more of the terms of a borrower's loan are changed to provide a more affordable payment, although, the payment is not always affordable.

HOW DOES A LOAN MODIFICATION WORK? STEP #1

Your lender allows you to apply for a Loan Modification.

STEP #2

You will send in the following: A request for the Mortgage Assistance Form A complete signed IRS Form 4506-T or 4506-T EZ Your most recent signed and filed Federal Tax Return Most recent paystubs Bank statements

STEP #3:

Your lender allows you to apply for Loan Modification. The modification process should take 2-5 months.

Unfortunately, many banks have made getting a Loan Modification far more difficult than it is meant to be. Some banks will only consider borrowers who are two to three months behind on their mortgages, even though Federal guidelines clearly do not require this. Your lender may "lose" your paperwork repeatedly or claim that you never sent in the requested documents.

1-800-300-HOME (4663)


LOAN MODIFICATION

WHAT

PROS

ARE

THE

PROS

AND

CONS?

+ You will be able to remain in your home + Your loan will be reinstated

- Less than 20% of loan modifications are ever approved

- If using an attorney, this will cost $3,000-$6,000 - You will most likely never see equity in your home - You will be making payments on a bad debt

CONS

-

Your home will be worth less than what you owe Your mortgage will now include:

- late fees, penalties, interest and attorney fees If you miss any payments, your loan will not be

- reinstated during trial period

It can delay other possibilities to get cash - from sale of property


LOAN MODIFICATION WORKSHEET

Fill out this form and see if you would be approved for a loan modification.

I. HOMEOWNER'S CURRENT MONTHLY GROSS INCOME II. The LOWEST PROPOSED MONTHLY PAYMENT would be at least 31% of the current monthly gross income III. Calculate the MONTHLY EXPENSES

Add up the HOMEOWNER'S OTHER IV. DEBT that appears on their credit report. This includes personal loans, car loans, credit cards, student loans, etc.

Add together the TOTAL MONTHLY V. DEBT along with the new proposed monthly mortgage payment to determine TOTAL MONTHLY DEBT. Current MONTHLY GROSS INCOME VI. multiplied by .55

$___________ MONTHLY GROSS INCOME X .31 = MONTHLY PAYMENT

$___________ MONTHLY EXPENSES

$___________ MONTHLY + OTHER DEBT = TOTAL DEBT

$___________ TOTAL DEBT + PROPOSED MONTHLY PAYMENT = TOTAL MONTHYL DEBT

$___________ $___________

If the TOTAL MONTHLY DEBT amount EXCEEDS THE 55%, then there VII. will be no possible loan modification no matter who the lender is per federal guidelines. If the difference between the ORIGINAL MORTGAGE PAYMENT VIII. and the 31% new proposed payment is MORE THAN 40%, the bank would mitigate losses better by foreclosing on the property.

1-800-300-HOME (4663)


HOW FORECLOSURE WILL AFFECT YOU? > LOWERS CREDIT UP TO 400 POINTS. > BANK CAN GARNISH YOUR WAGES OR BANK ACCOUNT FOR UP TO 20 YEARS. > AFFECTS CREDIT FOR 10+ YEARS. > MAY BE 7 YEARS BEFORE YOU ARE ABLE TO PURCHASE ANOTHER HOME. > FUTURE LOAN AND RENTAL APPLICATIONS WILL LIKELY BE DENIED. > CAN NEGATIVELY IMPACT FUTURE EMPLOYMENT OPPORTUNITIES. > THE BANK MAY WANT YOU TO VACATE AND START EVICTION PROCEEDINGS IMMEDIATELY.

FLORIDAHOMEOWNERSOLUTIONS.COM 1-800-300-HOME (4663)


AVOIDING FORECLOSURE

WHICH IS THE BEST OPTION TO AVOID FORECLOSURE?

BANKRUPTCY

SHORT SALE

COST: $3,000-5,000 CREDIT SCORE: DAMAGED

COST: $0-FREE CREDIT SCORE: GOOD (ONLY LOWERS 50-70 POINTS)

May not be able to keep your home. Will not be able to buy another home for up to 7 years. Just as bad as being foreclosed on.

Can purchase another home in 1-2 years.

LOAN MODIFICATION

EQUITY

May never see the equity in your property.

COST: STANDARD CLOSING FEES CREDIT SCORE: GOOD

COST: MONTHLY ATTORNEY FEES $500-600 (CAN RUN UP TO $6k+) CREDIT SCORE: DAMAGED Less than 20% are approved. All lates fees, penalties and interest will be added to your mortgage.

Can purchase a new home immediately.

Monthly payments increase in 80% of modifications.

1-800-300-HOME (4663)


THE SIMPLE PROCESS OF SELLING A HOME WITH EQUITY WHEN YOU ARE FACING A FORECLOSURE WITH EQUITY IN YOUR PROPERTY, THE BANK IS GOING TO EVENTUALLY TAKE ALL OF YOUR EQUITY IF THEY CAN. THE EQUITY IS THE MONEY LEFT OVER AFTER YOU SELL YOUR HOUSE AND PAY OFF YOUR MORTGAGE.

HERE IS THE PROBLEM...

THE BANK IS CHARGING YOU LATE FEES, PENALTIES, INTEREST, ADMINISTRATION FEES, AND EVEN THE BANK'S ATTORNEY'S. SO LITERALLY EVERY DAY THEY TAKE SOME OF YOUR EQUITY.

HERE IS THE SOLUTION...

WE WILL HELP YOU NOT ONLY AVOID FORECLOSURE, BUT WE WILL ALSO PAY OFF YOUR MORTGAGE AND ALL OF THE EXTRA FEES SO THAT YOU GET AS MUCH OF THE EQUITY LEFT AS POSSIBLE.

HERE'S HOW IT WORKS...

STEP 1 You order a payoff statement from your bank for the balance of your mortgage. (This will include all of the extra things your bank is charging you.)

1

STEP 2

STEP 3

We make certain you have equity in your property so you can walk with some cash.

We payoff your mortgage and all fees within 30 days.

2 1-800-300-HOME (4663)

3


IF THE BANK YOU TO KE YOU HA IF YOUR HOME HAS EQUITY EASY AS 1,2,3... WE WANT YOU TO KEEP YOUR EQUITY, NOT THE BANK!

1-800-300-HOME (4663)


DOESN'T ALLOW EP YOUR HOME, VE OPTIONS OPTIONS!! IF YOUR HOME DOESN'T HAVE EQUITY THIS IS A SHORT SALE! WE CAN KEEP YOU IN YOUR HOME FOR ANOTHER 3-6 MONTHS. WE WILL MAKE SURE YOU HAVE MONEY FOR RELOCATION AND WE PAY ALL EXPENSES DURING THE PROCESS! 1-800-300-HOME (4663)


If you don't have any equity in your home... then a SHORT SALE is your only option. A SHORT SALE is FREE! When facing a foreclosure and the bank is not approving your loan modification to keep the house, a SHORT SALE is the ONLY answer. A short sale will protect your credit score and avoid having a foreclosure on your permanent record. When you are in a short sale, you can continue to live in the property for the 4-6 months that it takes to get the short sale approved, and you don't have to make payments during that time! A short sale is when a cash buyer makes an offer to your bank to buy the property for less than what is owed on your mortgage. If you don't have equity and if your property needs repairs, the property will not be worth the amount owed on the mortgage.

WE HAVE A TEAM OF IN-HOUSE NEGOTIATORS WITH MORE THAN 20 YEARS EXPERIENCE OF WORKING DIRECTLY WITH THE BANK, DEDICATED TO SUCCESSFULLY NEGOTIATING SHORT SALES FROM BEGINNING TO END.

SHORT SALES

WE HAVE HAD A 99% SUCCESS RATE IN GETTING SHORT SALES APPROVED SINCE 2008!

1-800-300-HOME (4663)


SHORT SALES FACT SHEET

WHAT IS A SHORT SALE? In simple terms, a short sale is the process of selling a home for less than what is owed on the mortgage with the lender's approval. This is one of the best ways to avoid foreclosure.

HOW MUCH WILL IT COST? We do not charge any fees for our services.

CAN I KEEP MY HOUSE? NO. The purpose of a short sale is to get the house sold to stop foreclosure.

WILL I GET A WAIVER OF DEFICIENCY? YES! The lender will waive their right to garnish your assets or wages for the remaining mortgage balance.

A SHORT SALE TAKES 4-6 MONTHS, AND YOU DO NOT HAVE TO MAKE ANY PAYMENTS DURING THE SHORT SALE! ONCE YOU SUBMIT THE SHORT SALE PACKAGE, WE WILL DO ALL THE WORK!

CAN I STAY IN MY HOME DURING THE PROCESS? YES! You can stay in your home during the short sale process.

DO I NEED TO CLEAN OR MAKE REPAIRS? NO. You do not need to clean or make repairs. It is actually more beneficial to keep the house in its current condition - it may help in the short sale negotiations.

WILL MY INFORMATION BE KEPT CONFIDENTIAL? We know this is a sensitive subject and promise to protect your information with the highest level of care. All of the information will be kept in the strictest of confidence.

WILL I GET ANY MONEY FROM THE SHORT SALE? YES! Our experienced negotiators secure an average of $5,000-$10,000 in relocation money for our homeowners.

HOW LONG WILL THE PROCESS TAKE? On average, the short sale process can take anywhere from 4-6 months. 1-800-300-HOME (4663)


SHORT SALE THE PROCESS

1 2 3

WE LIST THE PROPERTY FOR THE SHORT SALE. The bank requires us to list the property BUT we will NOT be showing your property. We already have the buyer.

YOU WILL FILL OUT A SHORT SALE APPLICATION THAT WE RECEIVE FROM YOUR BANK.

WE WILL COLLECT SOME DOCUMENTS FROM YOU TO COMPLETE THE SHORT SALE PACKAGE.

4 5 6

THE BANK WILL SEND AN APPRAISER TO THE PROPERTY TO DETERMINE THE VALUE.

WE NEGOTIATE THE PRICE OF THE PROPERTY AND RELOCATION FOR YOU.

WE GET YOUR SHORT SALE APPROVED SO YOU CAN MOVE ON AND NEVER HAVE TO PAY ON THE MORTGAGE AGAIN.

1-800-300-HOME (4663)


SHORT SALES WHAT ARE THE PROS OF SHORT SALES?

There are many benefits to a Short Sale. A Short Sale is the best way to protect yourself from having a foreclosure on your record and ruining your credit. A Short Sale also gives what is called a 'waiver of deficiency'. This means that you will NEVER have to pay on your mortgage ever again. It is important to know that you can start over and someday in the future be able to purchase another property. By doing a Short Sale, you will give yourself the opportunity. Here are some benefits provided by a Short Sale: + Lowers credit ONLY 50-70 points + Full Waiver of Deficiency Bank will not pursue loan shortage + Affect credit for only 12-18 months

You may be able to purchase a new home immediately + Loan applications do not ask questions about a short sale. You can report your home as sold. + Will not affect future employment opportunities +

You will have more time in your home while the bank considers the short sale.

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THE SHORT SALE CHECKLIST The bank will require some documentation from the homeowner for the Short Sale. This information is confidential, so we will not share this information with anyone outside of our team. The documents that are in the list below are everything that the bank will require directly from you, the homeowner. Our team will work with you directly to put the Short Sale together. Once you have the following information, our team will send everything to the bank and we will start the negotations on your behalf.

Current Statements for All Active Mortgages Must show Loan #, Bank Name and Contact Information

Information on HOA, If Applicable Include name and contact info for management company

Pay Stubs for the Last 30 Days From all parties named on mortgage

Bank Statements for the Last 60 Days PDF version with all pags included - even blank pages

Tax Returns for the Last 2 Years Must be signed

Completed Short Sale Package from Lender We will provide this for you to complete

1-800-300-HOME (4663)


TESTIMONIALS AMPARO & LUIS P.

My mother and I were working with a different group on a short sale, and after more than 12 months of nothing happening, we met with Jo and Victor. The two of them got me out a bad agreement with the other company, saved us from foreclosure, got us relocation money from the bank, and even helped us find a new place to live. Victor and Jo really cared about us and took the time to make sure we always knew what was going on throughout the entire process.

JENNIFER B.

The house I was born and raised in, and the house my parents left me had fallen to foreclosure for various reasons. After denying the obvious and ignoring everyone who promised to help, there was something special about Victor and Jo, they really care about helping me and making sure that I came out winning. Thank you Vic and Jo for everything you did!

EUSTICE F.

I've been in foreclosure for over 4 years. After several failed attempts of loan modifications and thousands of dollars wasted on attorneys, I was ready to give up and let the bank take my home. Thankfully, Jo and Victor knocked on my door one evening and explained all my options to get out of foreclosure. They explained the short sale process to me and kept me informed every step of the way. After 5 months of working with the bank, they secured thousands of relocation money for me and a full waiver of deficiency. Thank you Jo and Victor for getting me out of foreclosure!

MILAGROS M.

After my husband passed away 8 years ago, I was no longer able to make payments on the mortgage. After fighting with the bank for more than 8 years, and paying attorneys thousands of dollars with never a solution, I was losing money and was getting ready to lose my house. I met with Jo and Victor in May 2020. They took the time to research my case and provide me with several different options. I chose the short sale because it made the most sense. Victor and Jo handled everything, 6 months later, we completed the short sale, they negotiated relocation money for me and even helped me find a new place for my children and I to live in.


STOP FORECLOSURE A 5 MINUTE CALL COULD CHANGE EVERYTHING. CALL US TODAY! JO COLONNA jo@floridahomeownersolutions.com 954-684-1368 VICTOR CARRERA victor@floridahomeownersolutions.com 305-998-9212

FLORIDAHOMEOWNERSOLUTIONS.COM 1-800-300-HOME (4663) Before using this service, consider the following information. Florida Homeowner Solutions is not associated with the government, and our service is not approved by the government or your lender. Even if you accept this offer and use our service, your lender may not agree to change your loan.

FLORIDA HOMEOWNER SOLUTIONS 2021 TYLER STREET, SUITE 101 HOLLYWOOD,FL 33020


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