Good and Bad News for Distressed Homeowners

April 28, 2012

Good and bad news for distressed homeownersWith a number of assistance programs that are uncertain and the real estate buying season on the horizon, many distressed homeowners are stuck between a rock and a hard place while they wait for the economy to recover and housing values to pick back up. Real estate expert Ilyce Glink shares her predictions for the market in general and specifically for distressed homeowners in a recent article on the Equifax Finance Blog, “

Spring Real Estate Market Predictions and News.”

The good news is that experts insist those who need help with their mortgages are getting it. Recent numbers cite that HARP volume has continued to grow as a part of total refinance volume, and in some markets it is up to as much as 30 percent of refinance activity. In these refinances, the loan-to-value ratios are often above 90 percent, which shows lenders are reaching out to underwater borrowers. While those may sound like impressive statistics, there are many that believe government programs like the Making Home Affordable program haven’t done enough to help struggling homeowners get back on their feet and

pay off debt.

On a more dreary side, the recent settlement between the nation’s five largest banks and 49 state attorneys may not be going where initially promised. The $25 billion settlement, a portion of which will go to each state originally for struggling homeowners and victims of foreclosure fraud, sounded like a ray of hope when the story first aired. However, recent developments are far less hopeful. Some states, including Missouri, Pennsylvania, Georgia, Vermont, Maryland, and Wisconsin, plan to use the money for other purposes such as budget shortfalls in other parts of state government.

This mixed news isn’t great for underwater homeowners, and it stresses the importance of finding ways to save money and pay off debt in the current economic climate. Thankfully, the Equifax Finance Blog has frequent updates with quality

personal finance advice, so explore it for ways to save and better use your money.

About The Author

Read All Stories By Mitch Levinson

Mitch Levinson is the author of “Internet Marketing: The Key to Increased New Home Sales” published by BuilderBooks. He is an Internet marketing expert with expertise in search engine optimization, website development, email marketing, social media and CRM consulting services. He is known for creating effective programs that can be tracked through analytics to prove effectiveness and ROI. Mitch is founder and president of MLC New Home Marketing and MLC FlatFee Realty, as well as managing partner of mRELEVANCE, LLC, a Marketing, Communication, Interactive agency with offices in Chicago and Atlanta. He currently leads the Chicago team. A Multi-Million Dollar Sales Producer who earned an MBA in Computer Information Systems and eCommerce, he brings a unique perspective and experience to the field of real estate communications. Mitch combines the two interests in order to help home builders and developers gain a competitive advantage through the Internet and technology. When he isn’t behind a computer, he enjoys participating in sports and coaching his kids’ teams. Mitch resides in Arlington Heights, Ill., a northwest suburb of Chicago, with his family, which includes two rambunctious labs. Visit my Google+ profile.

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