Rusty Law

American Strength

A few weeks ago I appealed for help on the radio and on this website for a family with medical hardship.  They had not fallen behind on their mortgage, but they are facing very large medical bills with a son who was born with a severe heart condition.  They needed a loan modification to keep them on their feet financially while they deal with the ongoing treatment of their young son.  

The family had been working with the St. Johns Housing Partnership and with me to modify their mortgage payment to a manageable monthly amount; however, they needed funds to put that modification in place.  They had been able to raise some of the money themselves.  On their behalf, I asked this community for the remaining $2300, made payable in tax deductible donations to the St. Johns Housing Partnership.  

That is one family that will be home for the holidays.  

This is our community, this is our country, and we are helping out.  With support like that, there is no better time to be an American, and no better time to thank our men and women in the US military for the freedom they offer with their service.  They keep us free so we may all be strong.  

Happy Veterans Day!

Loan Modification & the Loch Ness Monster

What do a loan modification and the Loch Ness Monster have in common?  We hear a lot of rumors and sometimes see fuzzy pictures, but has anyone actually touched one? 

Global warming in the economy has caused the meltdown of the financial market, creating a rise in mortgage debt level of Titanic proportions.  There’s more underwater-front property than ever before!  How much Photoshop do you need to put your financial picture in focus for HAMP?  And what’s in the pixels of the fine print?  

Over a half million borrowers have been offered a loan modification, but only two-thirds of those trial modifications are in place, meanwhile homes continue to go into foreclosure that would qualify.  

The Home Affordable Modification Program, or HAMP, is supposed to reduce the loan balance to more accurately reflect the current market value.  This can be accomplished by principal reduction of the loan amount, lowering the rate, increasing the loan term, or all of the above in combination.  To qualify for HAMP, you have to live in your home as a primary residence, be able to verify your income within the approval guidelines, and either be delinquent on your payments or have proof that a trigger event, such as extra terrestrial invasion, would cause you to fall behind.  

In theory, it’s a good program; in practice, it’s nearly mythological.