Dear Editor,

How words can fool us! We’re likely to learn it the hard way. Times are hard. Prices are high. Income is low. You’re falling behind on your home mortgage. No problem, some agency says.There’s such a thing as a mortgage modification. We’ll work with the bank to lower the payments. Here’s the chance you’ve been hoping for. Affordable payments. Mortgage payments should really amount of 31 percent of the household income, the experts tell us.

Dont count on it. Who would have though that the mortgage modification, presumably based on the homeowner’s income and expenses, would still be unaffordable? And who could even imagine that subsequent applications for mortgage modification would result in amounts increasingly higher? In one case, for example, a homeowner who couldn’t afford offers made at perhaps half her income was then offered a mortgage modification that amounted to 76 percent of the total household income.

Then, despite the economic recession and escalating expenses, some negotiator gets a mortgage modification offer in an amount maybe 9 percent less than the original unaffordable mortgage…..It might help, but don’t be surprised if some hidden hand simultaneously slashes your income. Then there’s “foreclosure presentation.” This must be a way to save your home, you thin. Not exactly. It’s more likely to be getting bought out. If you can’t afford the mortgage modification you’re likely to be pushed out of your home by way of “short sale.” Is foreclosure a pretext used as leverage to coerce short sale?


Rita Daly

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