Buy A Foreclosure Home

Of the 2 or more million mortgages that were funded between 2000-2007, many of these loans were funded unlawfully. During that period, bankers, lenders, mortgage brokers, appraisers and others in the industry enjoyed very prosperous times. Many of these people performed their jobs responsibly, while others performed their duties illegally. Prosecutions are continuing as these predatory lending violators are being brought to trial.

Your loan may be unlawful, and you may be entitled to substantial damages whether or not you are currently in foreclosure. A forensic loan audit is designed to look for violations of federal and state lending practices. Well over 83% of the forensic audits performed to date reveal major TILA (Truth in Lending Act), RESPA (Real Estate Settlement Procedures Act), Predatory Lending, and Real Estate/Mortgage Fraud violations.

What exactly is a forensic loan audit? A forensic loan audit is the comprehensive review of all documentation, legal paperwork, transaction data, and other evidence pertaining to a real estate loan that has already been funded. A Forensic Loan Audit identifies any illegalities performed by the lender, their broker, or other parties in conjunction with the loan. During the audit process, a professional should review your loan to ensure that it meets all legal requirements that were in effect at the time the loan was funded.

This is important because for a lender to be able to foreclose on a mortgage, that loan must be a legal contract. Loan violations are serious legal offenses and lenders are subject to heavy fines and legal penalties for breaking these laws. For the most part, financial institutions are run by rational business people, who do understand the financial consequences of their mistakes and usually want to avoid expensive litigation or risk being charged with large fines. When they are shown proof of their mistakes and backed up against the wall, lenders are more readily agreeable to working on terms more favorable to the homeowner.

How does the average home owner benefit? Violations are like bullets being loaded into a gun, used by the audit team to argue your case with the lender. As a rule, the more violations, and the more severe those violations are, the better your chances of obtaining a favorable settlement is going to be. This settlement may include punitive damages, attorney fees, lower monthly payments, a principal reduction, a delay or prevention of a foreclosure sale and more.

Assuming there are violations on my mortgage loan, then what happens? If the forensic loan audit uncovers evidence of deceptive lending practices or mortgage fraud, you probably have a very good case with more than enough leverage to negotiate a reasonable settlement with your lender. Without leverage you are at the mercy of the lender who will either stall you off or wear you down to the point of accepting a gratuitous offer.

The penalties for failure to comply with the Truth In Lending Act and other sections of the regulations as they apply to mortgage lending, can be substantial. A creditor who violates the disclosure requirements may be sued for twice the amount of the total finance charge on the loan. In the case of a home mortgage, this can be a very significant amount.

Your home and your familys welfare are too important to leave to chance. A forensic loan audit may uncover certain irregularities which in turn will give your legal negotiators the ammunition they need to work out a favorable loan modification program for you. At the end of this process; homeowners who have been the victims of predatory lenders, can rectify a great deal of the damage done to them. Including, resetting the terms of the loan to a lower interest rate, eliminating any back due amounts, restoring their credit history and saving their home.