Posts Tagged ‘property value’

Maricopa Home Loan Modification

Author: Arizona Loan Modification.
Time: Thursday, October 29th, 2009 at 7:10 am.
Category: Blog.

Anyone who owns a home understands that the United States is working through a terrible real estate and mortgage crisis, and Maricopa is no different than anyplace else in terms of not escaping the grip of this historic downturn.  Many people in the area have found themselves to be without any options when it comes to finding a solution for their mortgage problems and have lost their homes.  However, despite the troubling statistics and market conditions, you may have a solution available to you.  In order to find out, you’ll need to contact a Maricopa home loan modification attorney to obtain more details.

One look at some very basic statistics should tell the story when it comes to real estate and mortgages in Maricopa.  Many people assume that homeowners wind up owing more on their mortgage than their property is worth because they fall behind on payments or because balloon payments and the like come due.  While these instances do occur, it overlooks the overriding fact that many people are upside down on their mortgage because of the precipitous drop in property values in the area.

In early 2006, which was the time when many experts would describe as the ‘height of the real estate market bubble,’ the average home value index in Maricopa was approximately $270,000.  As of early October in 2009, which some are starting to call the ‘bottoming out’ period, the home value index in the area sits at just over $107,000.  That’s clearly a huge drop, and even those who have been making their payments find themselves buried under a mountain of debt.

In addition, the foreclosure rate in the area has risen ten-fold during that same time frame, which only harms the overall property value index in its own right.  Therefore, people need help.  Luckily, there are options available, and one potential solution would be a home loan modification.  This is a process whereby your lender basically works with you to change one or more of the terms of your loan, but you’ll  need the help of a Maricopa home loan modification attorney to make sure that you give yourself the best chance for an equitable solution.  An attorney will understand not only the new laws that govern this situation but also how to properly negotiate with your lender to work towards a solution.  If you are concerned about your mortgage, contact an attorney today to evaluate your options.

Tempe Home Loan Modification

Author: Arizona Loan Modification.
Time: Tuesday, October 6th, 2009 at 4:46 am.
Category: Home.

Tempe has long been a widely-known area in Arizona, and it boasts of many attractions, including Arizona State University.  Given its long-standing place in Arizona society, the area has also largely been known as a stable and affluent place to live, study and work.  However, the economic meltdown over the past year has not spared Tempe, and a look at some of the relevant real estate statistics should show anyone why home loan modification attorneys are accepting an enormous number of inquiries as homeowners attempt to stave off foreclosure and to save their homes.

Throughout 2005 and through most of 2006, Tempe’s real estate market was as stable as it had been historically, even enjoying the benefits of growth that the Phoenix area overall enjoyed as the population grew.  For instance, during 2005 and throughout 2006, the foreclosure rate on homes hovered at just barely more than 0%.  In addition, during the same time frame, the percentage of homes sold at a loss stood solidly at less than 2%.

However, that has all changed in recent months.  During the past year, the median home value in Tempe has decreased by approximately 20%, and foreclosures have skyrocketed to more than 2.2% in this otherwise affluent area.  Finally, almost 30% of homes in Tempe that have been sold in the past year have been sold at a loss.  All of this is clearly troublesome, but hardly unique when compared to other parts of Arizona.

When home values decrease, more and more people find themselves in homes that have a loan on them that’s higher than the property’s value.  When foreclosure rates explode and homes are sold at a loss, it only increases the pressure on those who remain to keep their heads above water in terms of their overall investment.  As a result of this trend, lawmakers have opened the door to new options for those homeowners who want to save their homes.

One of those options is a home loan modification.  This program allows homeowners who qualify to basically reformulate their existing mortgage towards terms that are more manageable.  Lenders are willing to take this step most of the time to avoid having to incur the expense of foreclosing on homes and being left with properties that they will have to sell at a loss.

However, obtaining a home loan modification involves more than simply filling out forms.  You need the help of a Tempe home loan modification lawyer who understands not only the laws that apply but how to negotiate terms that are as equitable as possible.  Contact Phillips & Associates today to schedule a free initial consultation.