Thousands Seek Modified Mortgages
Thousands of homeowners camped out at the L.A. Convention Center Thursday to get help from the "American Dream Tour," where mortgage modifications that usually take months are in some cases, being resolved in one day.
The Neighborhood Assistance Corporation of America is a non-profit organization that is helping troubled homeowners adjust their high-priced mortgages and stay in their homes. NACA has contracts with major U.S. banks, lenders and investors, and if NACA can verify that homeowners mortgages are unaffordable, the lender can modify the monthly payment.
NACA has set up a five-step program to determine eligibility for mortgage modifications, and encourages homeowners to come and see where they stand, even if they are skeptical.
The five steps include an orientation, NACA budget counseling, a meeting with your mortgage company, and a follow-up before you leave with a NACA solutions counselor.
Franco Santoni is a homeowner who camped outside overnight in the cold, and didn't get much sleep, but he has faith that it will be worth it. "I'm hopeful that we'll walk out of here with a mortgage modification," said Santoni.
According to NACA, 55 percent of homeowners will leave the Convention Center with a same day solution. Eighty percent of the remaining homeowners will have a solution within 30 to 45 days.
According to Bank of America Vice President Anganette Dowles, people have been coming from all over California to seek help to modify their mortgages. She has seen people from San Diego, Ontario, Orange County, and even one woman from Atlanta, coming in the hopes of saving their home.
New home sales were poor in 2011, and more than half of the sales of existing homes were made off of foreclosures and short sales.
Home buyers took advantage of foreclosures, and consequently pushed down prices in the weakened market according to DataQuick, a real estate tracking firm.
While the number of Americans facing foreclosure is declining, the thousands of people that showed up to NACA's "American Dream Tour" proves that there are still plenty of homeowners still in troubled times. The "American Dream Tour" will be open every day until Monday, from 8 a.m. to 8 p.m.