This page is meant as a guide to simple steps to help homeowners who are looking to save their home and get a Private Money Loan in Florida if they have equity in their:
A Florida foreclosure bailout loan and refinance is a first mortgage lien on your property up to 55% loan to value. The Private Lender will hold a mortgage not in first position. You will get a monthly statement and payment that you pay directly to the private money lender. The goal is to establish a good payment history and work on your credit so you can apply for another loan within a year to two years.
Go online, search, make calls, and find a lender you're comfortable with.
Step one is to call a mortgage company that specializes in Florida foreclosure bailout loans. They will ask you several questions. The biggest question is how much equity is in your property. The loans are based on the equity in your home. If you have a high loan to value, then this loan will not work for you. Many clients in foreclosure still have 55, 60%, and 70% equity in their homes and this type of loan would work for them.
We are here not to judge, but to help the borrower get back on their feet, establish a new payment history, build up their credit, and give them new life, but more importantly, to save their home. Your home is your largest investment.
Investor will have an interview with the borrower and see how much equity is in the property. How many months behind are you, 3, 4 5 6 or more? Are you in full foreclosure or pre-foreclosure? Is your loan with the attorney? The main question that will determine if your loan will work is how much equity do you have in the home, condo, land property? If the equity is not there, then this loan will not work. An application will be taken here as well in many cases if it is determined that the equity will work.
The second step in the process is the private money lender will go to the borrower’s home and inspect the property. Is the home in good repair, pride of ownership, and nice curb appeal? Since the investor is not looking at credit, then the home must have equity, pride of ownership, and curb appeal.
Once the investor says we will do the loan, then the next step is you order title, appraisal, and then get your income documents. You must be able to make the monthly payment. So making your your income and ability to pay is very important. Your time on your job, monthly income, and ability to make the payment is another important factor so the underwriting team can make the loan work for you. The team of underwriters and loan officers have had many years of experience in dealing with these loans. They are there to help you each step of the way to make sure the loan process goes as smoothly as possible.
Once your title and appraisal come back, then you will get a clear to close from the underwriting team and you will get a final hud-1 statement to review before your closing. Then a closing time will be set and you will go to our closing. Other factors that come into play are are days away from your foreclosure, your home is going to auction, do you have plenty of time with pre-foreclosure. Once you close you have 3 days to review the documents.
Payoff. Make sure you have an updated payment for the lender. I can't tell you how much wasted time is spent, ordering and reordering payoffs, in many cases, weeks are wasted.
If the loan is with an attorney what is the attorney's name and number to get the payoff from him? The title company will order that.
If the lender/underwriting team needs any type of document please be willing to help and make the process go easier help them to get the documents they need, payoff, income document, and letter of explanation. They are trying to save your home. Any assistance is so much appreciated.
Don't disappear for days and not contact the lender every day is important in this type of loan. A hard money foreclosure bailout loan or refinance equity loan is one of your best options. Yes you can get a loan modification short term, and you might payment plan, but your payment will go up and fees will rack up on you. One of your best avenues is to start fresh and get a new loan, a new start, and no mortgage payment many times for 30 to 50 days. Rebuild your credit and mortgage payments. Our team of underwriters and private money investors have hundreds of years of experience to help you save your home and get a new loan.
