When multiple mortgages are bundled together into one big pool, it’s referred to as mortgage securitization. This process is done so that the mortgage loans can be sold to investors who can benefit from the interests that are paid on the loans. It’s been around for more than 50 years now, but rose in popularity […]
When homeowners stop meeting their repayment obligations, mortgage lenders can initiate the process of foreclosure to recoup the losses that they’ve incurred. At the end of this process, the home is typically sold at a sheriff’s sale auction, with the proceeds going to the lender. Sometimes, the amount that the home is sold for is […]
If a homeowner is having trouble meeting their mortgage obligations, they have the option in many cases to work out an arrangement with the lender. Such a modification could result in the lender agreeing to change the terms of the loan to provide financial relief to the borrower, allowing them to avoid foreclosure. In many […]
Equitable subrogation is a common legal practice that’s carried out in the real estate and insurance sectors a lot. The legal doctrine allows one party to replace another party, asserting the remedies and rights of that other party in the process. In real estate, equitable subrogation is often put into practice when a borrower refinances […]
If you have a mortgage, you may not be aware that there is something known as the Mortgage Electronic Registration System, or MERS, that tracks its registry as well as any other mortgages that originated in America. The confidential database is used by companies throughout the real estate financial industry for trading and recording residential […]
When the financial crisis hit in 2008, thousands of homeowners across the country suddenly found themselves in a precarious position. The homes they owned all of sudden were worth less than how much they owed on their mortgage. Combined with mass layoffs that occurred at companies all over, many of these underwater homeowners couldn’t afford […]
If you are having trouble paying your mortgage, you might be worrying about whether your lender is going to foreclose on you. This is obviously something you want to avoid, as it can lead to your home being taken from you and your credit score being hit significantly. Luckily, there are some options available to […]
When you signed a mortgage to fund the purchase of your home, you signed a contract with a lender. The lender provided the money you needed to purchase the home, and you agreed to certain terms to repay that money to them. If you stop making these mortgage payments in any way, the lender has […]
Foreclosure is the process by which mortgage lenders will attempt to reclaim their asset when a borrower doesn’t repay their home mortgage according to the terms of the agreement. When borrowers miss payments or get behind on payments, states have strict guidelines about what lenders can and must do in order to start the foreclosure […]
When homeowners don’t repay their mortgage or property taxes in a timely fashion, lenders, municipalities and other creditors can seek to reclaim their asset through the foreclosure process. In order to reclaim their asset — in this case your home or an investment property— the creditor must follow strict guidelines that are set forth by the […]
