LIEN STRIPPING AND HOW IT COULD SAVE YOUR HOME

Lien stripping allows a mortgage that is under-secured to be reduced to the value of the property securing the mortgage. This sounds wonderful, but, it will not save your home. The reason for this sad fact is caused by the Congress of the United States of America, greedy investors and people who do not care about whether you keep your home or lose it.

  • WHY WOULD I SAY THAT CONGRESS DOES NOT CARE WHETHER YOU KEEP YOUR HOME?

The reason is because Bank of America, Donald Trump, General Motors and any business can do what you cannot do to save your home. Congress passed and has refused to change a section of the United States Bankruptcy that says you cannot modify a mortgage on property that is the home of the debtor.

The same Congressmen and Senators who claim to be worried about you have not done anything to help you. The Congressman and Senators will say that allowing the write down of mortgages on your home will destroy the financial system.

  • DON’T BELIEVE THIS DRIVEL BEING SPEWED BY CONGRESSMAN AND SENATORS!

Remember, the provision of the law I am referring to affects only your home. The rental house next door to you can have its mortgage reduced or valued. The bank building owned by Bank of America, the factory building owned by GMAC or any property not the principal residence of the debtor all all treated differently than your home.

The mortgages for all of these businesses can be rewritten so that the mortgage only secures the present value of the building. If the amount of the mortgage is reduced and the interest rate is reduced to the present rates being charged, the monthly mortgage payment suddenly is something that the business may be able to afford to pay. People keep their jobs, the lenders lose much less money than they would lose if they had to foreclose on the property and interest is paid on the new amount.

  • IF THE MORTGAGE IS A BUSINESS LOAN, HALF A LOAF IS BETTER THAN NO LOAF
  • LENDERS ON RESIDENTIAL LOANS HAVE DECIDED THAT IS NOT GOOD ENOUGH

Every day, people just give up and walk away from their homes. If you are upside 100,000.00, how long will it take for you to even get to even. Will you ever be able to get your loan amount and the value of the property somewhere close to each other?

You are struggling to make the payments on a mortgage that is very underwater. How long can you make it so you help some lender wherever that lender is located? Will you be making payments for many years that you should have put into a 401 K? Are you willing to not have a retirement program to keep the house.

  • SOLUTIONS TO THIS PROBLEM
  • CONTACT YOUR CONGRESSMAN AND SENATORS

Make sure that they understand that you are aware of how they have sold your best interest out to the interest of the money lenders.

Make sure when they start to tell you how allowing modifications will hurt the financial system that you tell them that you know they are bought and paid for. If Congressmen and Senators believed what they said, businesses would not be allowed to modify their mortgages either.

Let everyone know that you vote.

Stop the destruction of communities by allowing empty, decaying buildings to exist when people are forced out of their homes because of foreclosures.

What is better, communities where people live and laugh and raise their families?

About Nathan Davis, Esquire

Born in Charleston, South Carolina, Nathan Davis has been practicing law for many years. Mr. Davis has a wide variety of experiences having practiced domestic relations, criminal law, social security law having also practiced collection law in the past. This knowledge is helpful when someone needs to restart their financial life. The practice is now primarily bankruptcy and debtor representation work, but, Mr. Davis continues to also practice real estate law, trusts and estates and a general litigation practice. I believe that the most important part of representation is trying to leave you better off when the case is finished than when you started. Although I will do as my client directs, I will always tell you if I think that you are making a mistake. Bankruptcy is about a "fresh start". If you do not make changes in what you are doing, you will be doing what you are doing now in the future. There is no shame in bankruptcy or other steps that you may take to start your life over. Too often, people worry more about things than about themselves, their family or their future.
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