A Foreclosure Bailout Loan is a mortgage designed to save homeowners from having the properties being foreclosed upon by their banks. it is basically a refinance loan. The home owner takes out a mortgage to pay off the current loan that's in default.
When taking a foreclosure bailout loan strongly consider paying the points to remove the prepayment penalty. This will allow you to fix your credit and get in a better loan quicker.
Foreclosure Bailout Refinances are based on the value of your home, and how much you owe your current mortgage companies. For this reason, most of these loans require an appraisal and an additional property valuation to complete.
Many lenders will lend as soon as 1 day after bankruptcy discharges.
You want to contact one of our Advisors as soon as you feel your home is in jeopardy, the longer you wait the more your credit becomes affected and the harder it is to get you into a more stable situation. Time is the key to saving your home.
A foreclosure bailout loan should be viewed as step one of a three-step process to an affordable mortgage payment. Expect a high interest payment on this type of mortgage because of the risk factor.
Once you have your bailout loan completed and the NTS (Notice of Trustee Sale) and the NOD (Notice of Default) have been satisfied, then you maybe able to refinance within one day out of NST and NOD with one of our Sub-prime lenders and possibly cut your interest rate in half. Of course you must meet minimum credit and income qualifications.
If you don't qualify, then you must make 12 months of on-time new mortgage payments, you can then refinance into a better interest rate.
Most foreclosure bailout loans require at least 30% equity in the home and credit scores over 500. While many potential borrowers do not fall into this category there are some that do and can benefit from the bailout programs, contact us we maybe able to make an exception.
NOTE; we get people loans with really bad credit!
Anytime a mortgage goes 90 days late, most banks will consider that loan in default.
A foreclosure bailout loan will be costly and typically carry a higher interest rate because the lender's risk is so high
We can provide alternative financial solutions for borrowers who have been turned down by the bank for a traditional loan or for those who need cash quickly Our streamlined process allows us to approve and fund loans in a matter of days based solely on equity in the property, and the purpose for the loan. All loans are secured by owner-occupied & non-owner occupied residential and commercial properties.
Hard Money or Equity -Based Loans can help you get back on track by providing funds quickly to:
Upgrade a Property
Provide Funds for Your Business
Any Other Reason You Need Cash Quickly For
The Lender usually can provide up to 70% of the appraised value (sometimes more) as a 1st trust deed and close in as little as 10 days. 2nd & 3rd Trust Deeds are available at a lower Loan-to-Value ratio.
The Lender will also assist borrower with an Exit Strategy to secure a long-term lower rate loan .