Loan Should Not Be A Homeowner Loan - 2306 Words

There comes a time in most peoples lives when they need to raise some extra money or finance for whatever reason. If you have a home you may have considered or be considering taking out a homeowner loan. Having a homeowner can be perfect for those wanting to raise extra cash but please remember and be aware that if you fail to keep up with repayments on your loan you home could be repossessed and taken away from you. TOP TIP: Please Remember to get as much information as you can before you sign on the dotted line. So then you have done some research, and realised how big a decision taking out a homeowner loan really is, or more to the point that taking out any type of loan should not be a lightly made decision. Having said that If you†¦show more content†¦Please remember that if you cannot afford to do something then please do not do it. Please also note that I am not acting or representing anybody or anyone. I have just given my guidance and opinions with regards to look ing around for and finding a suitable homeowner loan that meets and fits your situation and so on. My advice and guidance does not constitute professional legal or financial advice. If you require this type of advice please actively seek it. I wish you luck and success with whatever you choose to do. A year ago I found a small ad button on a website. Which site it was I can t even remember. It just said Kiva, a Swahili word that means agreement or unity . Since it is not often that one falls over Swahili words on an otherwise English website, my curiosity pushed the button and opened a whole new world. For years I was irked by the immense overheads of big charity organizations. Of course I understand that big institutions have big overheads, but somehow it just did not seem right to me that according to Forbes (http://www.forbes.com/2004/11/23/04charityland.html) on average in 2004 only 84% of monies donated actually reached a needy and deserving individual. From pressing the ad button to learning more was only a small step. Kiva (http://www.kiva.org ) is a forerunner and the first ever person-to-person micro-lending website. Whilst on the website you are given the opportunity to browse the entrepreneurs profiles,Show MoreRelatedSolving the Foreclosure Crisis 1156 Words   |  5 Pagesfamilies and individuals every day. One aspect we must take into consideration is that most people are not informed of what foreclosure means, or the process, even those who are homeowners. I believe that one step to preventing foreclosure is to educate first-time homebuyers. In addition, first-time homebuyer programs should not only assist potential buyers with financially preparing them to buy a home, but to keep the home once they close the deal. According to a July 16, 2009 press release byRead MoreSolving the Foreclosure Crisis 1107 Words   |  5 Pagestake everyone getting involved. The banks and other lenders need to be willing to work with people who have been in their homes and need to have their loans restructured or refinanced. There should not be any more QUICK FIXES. Too many of the lending institutions are trying to put a bandage on an open wound. Instead of working with the homeowners, they are willing to put the residents out of the homes and think that this will solve the problem. The only thing that does is leave the houses open forRead MoreHome Insurance Case : The Premium For PMI Insurance727 Words   |  3 PagesThe cost The premium for PMI insurance varies according to the size of the loan, and the down payment made, but is typical around one percent of the loan amount. The cost is not based on the lender’s credit score but is based on the size of the mortgage and the amount of the down payment. When it is necessary If a home buyer cannot afford to make a large down payment, typically at least twenty percent, to purchase a home, purchasing PMI insurance allows the buyer to pay as little as five percentRead MoreForeclosure Crisis: A Time for Change1105 Words   |  5 Pagesthought that every person should be a homeowner. According to a speech by President William Clinton in 1995, he boasted about making homeownership a reality, â€Å"The goal of this strategy, to boost homeownership to 67.5 percent by the year 2000, which would take us to an all-time high†(Wooley). As a result of political ploys like this, banks and lending institutions came up with products such as the 107% financing, interest only loans, negative amortization programs which allowed loans to start at a 1% interestRead MoreEssay on Solving the Foreclosure Crisis 998 Words   |  4 Pagessolution to a crisis of this magnitude first must be looked at from the origin of the introduction of a system, which is, the study of the loan process by the homeowner. To correct the crisis of foreclosure, borrowers must do their part, while lenders remain true to their â€Å"fine print.† The simplest solution to this problem already exists, that is loan modification. A loan modification, or a modified refinance, is a negotiation between a lender and a borrower that succumbs to a reorganization of a loan’sRead MoreHow To Solve The Foreclosure Crisis1443 Words   |  6 Pagesunemployment, tightening credit, decreasing real estate values and cataclysmic stock market crash resulted in millions of homeowners defaulting on their mortgages. What are the solutions to this problem? Some would argue that the government should intervene and help homeowners. Those with a more â€Å"free market† or laissez faire approach would contend that the government should let it play out and the problem will eventually resolve itself. But with the faces of evicted families on every newscast,Read MoreThe Current Bull Market Of Theu.s Economy1176 Words   |  5 Pagesown oscillations. A major contributor to the Savings-Loans and Foreclosure crisis was unpaid loans (Root). Banks were making loans to prospective and current homeowners without sufficient guarantee of return on investment (ROI). It is this default of loaning on the part of consumers I want to provide a solution to minimize its effects. The Wolf Blows Away the House of Sticks Eventually Before I get to the possible resolutions of lessening loan defaulting, it is necessary to say that a housing marketRead MoreEssay on Solving the Foreclosure Crisis 1305 Words   |  6 Pagestheir home. My solution is based upon the concept of the homeowner paying what they are capable today, with a long term solution for the homeowner to repay the entire debt eventually. If the homeowner can now afford to make the payments, then they can escape foreclosure, rebuild their pride, and be productive citizens. In essence, the problem leading to the foreclosure crisis is the recent decrease in people’s ability to make their loan payments due to job loss and lower wages brought on by theRead MoreA Practical Solution to the Foreclosure Crisis1122 Words   |  5 Pagesmortgage and real estate industries. Homes were all too often over valued by appraisers, and then realtors listed them at these outrageous prices. Loans were also offered at higher values by loan officers, so that they could increase their commissions. Homeowners also played a part in their own demise by participating in activities such as lying about income on loan applications in order to qualify for a home that they essentially could not afford. Finally, banks provided sketchy, adjustable rate mortgagesRead MorePossible Solutions to the Foreclosure Crisis Essay1179 Words   |  5 Pagesaccounting records of the banking industry. With more lost jobs on the horizon and fluctuating adjustable mortgage rates, the foreclosure crisis continues to plague America. A recent report from the Mortgage Bankers Association reveals that 14% of loans are behind or in foreclosure. This is largely due to lost jobs in this volatile economy. Many factors are involved in addressing a situation like this and one solution alone cannot solve the crisis. We saw millions of dollars in stimulus money go to