Pre-Foreclosure Loss Mitigation |
| With the current “mortgage meltdown,” retention of borrowers and their payment streams is critical to surviving severe financial losses and effectively mitigating potential defaults. The fact that delinquencies are rising places lenders and their investors with the unsavory prospect of having a flood of delinquencies, foreclosures and properties moving into REO on their hands. A study by the Center for Responsible market alone. The study projects that almost 20% of subprime loans issued during 2005-2006 will fail in Lending predicts that there will be as much as $164 billion in foreclosures in the subprime mortgage 2007-market alone. The study projects that almost 20% of subprime loans issued during 2005-2006 will fail in 2007-2008. Late payments by subprime borrowers, those with tarnished or insufficient credit, climbed to 13.3 percent, compared with 2.57 percent for prime mortgages. These trends together with declining home values and rapidly failing local market conditions have given rise to a challenging mortgage environment. Prudent Mortgage Servicers want to continually improver their ability to effectively manage the default process because they understand its relationship to loan profitability. GPS’s Loss Mitigation Division offers the tools you need to take superior control of your default management. GPS Loss Mitigation empowers Servicers to proactively manage delinquent conventional, government, and subprime mortgages to reduce foreclosures and the thousands of dollars associated with foreclosure and REO properties. Many of the largest Mortgage Servicers in America want to work with GPS. Why? Because prudent lenders know that now it NOT the time to own REO’s. That’s why you should consider partnering with GPS to help identify workout alternatives for your borrowers in default. When you have clients in default, GPS Loss Mitigation can help you to salvage your relationships with a viable workout alternative. GPS will identify workout opportunities for your delinquent borrowers, and offer a Loss Mitigation solution tailored to fit the needs of BOTH the borrower and Mortgage Servicer (as well as your investors). In this market, there are a number of scenarios that aid in taking early action – Short-Sale, Loan Modification, Repayment Plan and Deed-in-Lieu and GPS Loss Mitigation can prove to be a powerful tool which allows for superior portfolio management by helping you to resolve a greater number of accounts, while reducing overall losses, freeing loan loss reserves, and thereby increasing overall portfolio performance. Yet another benefit of partnering with GPS is that you can save on your staffing budget -- use GPS when you have a need without being locked in to any long term contracts. The end result is that you can effectively respond to a change in your Loss Mitigation needs, without having to hire additional personnel. In the end, GPS Loss Mitigation becomes a must-have, value added extension for appropriately managing your workout processing requirements in today’s ever-changing mortgage servicing environment. GPS’s Loss Mitigation Division provides: • Reduce credit losses • Free-up valuable Loan Loss Reserves – the lifeblood of your organization • Improve borrower and loan retention avoiding foreclosure • Increase the effectiveness, accuracy and consistency of your loss mitigation strategies and scenarios • Increase the efficiency and capacity of your existing loss mitigation and collection operations • The cost and time to deploy GPS Loss Mitigation is many times less costly than that of existing internal systems. GPS – Proven Results, even in today’s troubled market. Hire us to contact your homeowners BEFORE they start foreclosure and the opportunities to complete the most palatable workout program for your investor increase dramatically. Keeping property owners in their homes is a goal GPS shares with its default customers and the best case scenarios occur when you give us the property assignments before there is any public notice that the homeowner is in default – a GPS agent will then visit the homeowner at the property, and explain that you have asked us to contact them to see if there was a way to avoid foreclosure (either by helping them stay in the home or by helping to get it sold before it is foreclosed). Loss mitigation is a growing business, but very few organizations can do it effectively. Many companies fail because they lack the “right mindset” – too many “loss mitigation” companies are only in business for themselves to line their own pockets. And while GPS is indeed a “for-profit” organization, from the very beginning we have operated with the right mindset by placing the needs of our clients first and foremost – we believe that by doing the right things, for the right reasons, we can identify the most appropriate solution for every stakeholder which allows a win-win that everybody can be satisfied with. We all know that it is less expensive to try to help the homeowner sell the home or work out something with them that will allow them to keep their home rather than to have to foreclose on the property and REO it. GPS Loss Mitigation is designed to address the full set of loss mitigation scenarios that meet Fannie Mae, Freddie Mac, HUD and VA guidelines. In addition, GPS Loss Mitigation enables you to better service both private and institutional investor regardless of loan types and investor conditions across prime and subprime loans. On every assignment you send to GPS, you can expect that we will attempt to provide you: • Analysis at an early stage to identify borrowers where Short-Sale and Deed-in-Lieu are the optimal scenarios if necessary. • Accurate, Up-To-Date BPO Valuations which include property condition & occupancy as well as CURRENT local market conditions, all of which allow for a truly customized and efficient approach to pricing each property if the home has to be listed. • Interior/Exterior color photographs along with a property condition report and a contractor’s estimate of repairs (where applicable). • If the property needs to be listed, a GPS realtor affiliate will attempt to list the property and we will provide you with a copy of the listing. • A Debtor’s Hardship Package that includes: --Hardship Letter (why the homeowner defaulted, what they want to do, their willingness/ability to repay, and their desire to retain the property). --Financial Worksheet --Pay Stubs --Bank Statements --Tax Returns --Other appropriate hardship items GPS – Proven Results, even in today’s troubled market. If you choose to work with GPS, the minimum expectations we would have of you are: * Cooperate with us in postponing sale dates to help get properties sold when we bring you a pre-foreclosure offer that provides a lower loss severity vs REO. * Discounting the mortgage if necessary to allow the Homeowner to sell an over encumbered property if the pre-foreclosure offer will provide a lower loss severity vs REO. * Consider allowing homeowners a nominal amount of cash at closing (less than $2500) to encourage them to they will co-operate in selling the home instead of letting it go back to the bank. * Consider forgiving some or all of the back payments, if the Homeowner qualifies to stay in the home. * Consider adding back payments to the end of the loan, if the homeowner qualifies to stay in the home. * Consider reducing the interest rate, if the homeowner qualifies to stay in the home. * Prompt payment of all GPS service and processing fees. GPS – Proven Results, even in today’s troubled market. An effective way to evaluate GPS is based on the following: • % of completed First Contacts. • % of completed Hardship Package • % of successful workout alternative vs foreclosure. GPS – Proven Results, even in today’s troubled market. |
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| EMAIL GPS gps@genesispropertysolutions.ORG |
| FAX GPS 813-200-3324 |
| Call GPS 888-GPS-LLC7 |
| CONTACT US TODAY: PHONE: 1-888-GPS-LLC7 (888-477-5527) FAX: 1-813-200-3324 EMAIL: GPS@GenesisPropertySolutions.ORG |