September 21, 2011

The real facts about the “Scrap Mortgage Debt Market”

By Timothy Stull (

Your home is one of your most valuable possessions. When you begin to lose grip on the ownership of your home it can be both devastating and traumatic to both you and your family. This dreaded situation usually begins with unpaid mortgage on your behalf. Once you have fallen behind on your mortgage, it can be a tough climb to get back on top of your payments.

One out of every ten home owners is severely late on their mortgages. Many have tried to complete loan modifications and unfortunately have been unsuccessful. This is in part to the fact that many banks are denying their loan modification requests and opting sell the mortgage debt into the scrap mortgage debt market. To have your home basically thrown into the ‘junkyard’ of real estate is a grim feeling for any homeowner.

The process of the scrap mortgage debt market can be complicated and difficult to understand. Having a clear interpretation of this process is crucial when your home becomes known to the mortgage industry as leftovers for the banks.

The scrap mortgage debt buyers purchase the debt at 5 cents to 10 cents on the dollar. Once they obtain the debt, they have one simple goal; to foreclose on the property. The debt buyers are then able to reap huge profits from the sale of the property when it is back on the open market. They are also able to collect on the loss through Federal insurance funds.

The Federal government does not have any set standard rules surrounding the scrap mortgage debt market. It is a market that is increasing in size rapidly. It will need to be governed in some measure to avoid the expansion of the federal government debt issue, deflation in home values and a severe as well as unfortunate homeless problem.

The end result of the scrap mortgage debt process can be detrimental to the homeowner. The tax payer ultimately pays at the completion of this process. The homeowner is subsequently set up for foreclosure which is a frightening event for any homeowner to have to face.

The scrap mortgage debt market is increasing in size at a rapid pace. It can begin ‘nipping at your homes foundation’ before you know it. Don’t face this intimating process alone.

There are numerous direct legal motions that can be taken to block foreclosure when facing aggressive foreclosure procedures. You will need an experienced foreclosure defense attorney; one that knows how to effectively challenge the scrap mortgage debt collector. A foreclosure defense attorney will provide the ease and comfort one needs in order to understand how to face a scrap mortgage debt collector head on.

Regain your home from the scraps of real estate with the assistance of a foreclosure defense attorney!

Fresh Start Legal Network has direct connections with attorneys coast to coast that will stop the foreclosure process in its tracks. We offer a totally free consultation.



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