The first two properties featured are already bank-owned, and the third has their trustee-sale date bearing down on them – and we’re not fooling around with subprime crackerboxes anymore:
Most of the defaulters I have spoken with claim that they are just doing a loan modification, and that everything will be OK. But what happens when their loan mod gets denied, or the bank’s terms aren’t that favorable – and the debtor has been used to not paying the mortgage at all, and enjoying the free rent program? Hard to believe that many of them will jump back on the old-payment train.
It’s probably why we are hearing more about the foreclosure tsunami – the banks have decided to play hardball, and they know that it’ll mean most loan-mod candidates will bail.