With lots of people unemployed in this bad economic time, a lot of homeowners are finding it hard to keep paying their house payments. Some people have good, fixed rates but, without employment, they still cannot keep up. Some homeowners are worse off and have adjustable rate mortgages and find their home payments adjust to something they cannot afford. Many homeowners cannot afford to stay in their homes so they have to sell and move on. However, with home prices dropping sharply, they also find themselves having upside down mortgages. That means, they owe the mortgage companies more than their homes are worth. So, what can they do?

Should Homeowners Sell Their Homes?

The first option that comes to mind for many homeowners is to sell and move on. However, if they were to sell their homes, they are going to get less for them than what they owe the lenders. So, selling may not be the best thing for them. But, it is usually a good idea to consult a real estate agent to make sure that there is no way to sell and walk away free and clear without having to come up with the rest of the money for the mortgage balance later on.

Should Homeowners Refinance?

Often when you owe more than your home is worth, banks will not lend. But, there could be options that allow you to refinance your house or modify your loan especially when the rates are extremely low right now. If your credit is good or fair and you wonder if refinancing is right for you or have any home loan questions, call your lender as well as other lenders for comparison. Sometimes, your own lender might not help you but other banks may be able to.

The Result of Foreclosure

A lot of homeowners cannot sell their homes, cannot refinance and cannot modify their loans. Soon their mortgage companies start to foreclose. Foreclosure severely hurt your credit so it is wise to call your bank and try to negotiate with them before they foreclose. If they do foreclose, however, there is the new Mortgage Forgiveness Debt Relief Act of 2007 that will work on your side. This Act allows taxpayers to exclude income from the discharge of debt on their principal residence. Debt reduced through mortgage restructuring, as well as mortgage debt forgiven in connection with a foreclosure, qualifies for the relief.

The process to obtain a Miami mortgage as a foreign national is fairly equal to the one followed by a normal American resident.

The process usually starts with an initial consultation with a mortgage lender. This meeting can be accomplish in person or by phone. To accelerate the loan process, you may prefer to have the needed documents ready.

Once the different loan choices are looked at and one is chosen, we help you fill out a mortgage application. After you fill the application, you have to provide us the needed documents.

Once we receive the needed information, we start getting a package ready to send to the underwriter (the person who will authorize the loan.) We’ll order an appraisal of the property to ensure that the property it is at least worth the amount of the loan. In addition, we ask for a title research to ensure that you can get a clear title of the property when you sign on the loan.

Once we have all the information, we ship it to the underwriter, who will ensure that the data received is true. The underwriter will usually contact your boss to verify employment or with your accountant if you are a business owner.

Once the underwriter authorizes the Miami mortgage, we’ll receive a letter with the final conditions of the loan and when we might expect to close the mortgage. As soon as we get the approval, we send the entire package to the title company which is the firm charge of losing the loan.

The usual mortgage process varies depending on several different conditions such as how fast you can give us the needed documents or how simple is the case. Nevertheless, you can expect to close your loan in under 4 weeks.

Obviously, we will assist you and advise you during the entire Miami mortgage application process.

Please keep in mind that we do this every day, and we are used to advising people just like you on how to get a Miami mortgage in the United States.

After you have been pre-approved and have decided on what home to buy, you want to begin the mortgage approval process. This process begins with a first interview where you and your Miami mortgage lender talk about your different possibilities.

In the first meeting, the mortgage lender will help you complete a 1003 mortgage application form. To accelerate the mortgage approval process, you will need to have several papers that are required for the approval of the Miami mortgage:

• A purchase contract for the house (if you already have one)
• Your bank account numbers and the your bank’s address, along with checking and savings account statements for the last 3 months
• Pay stubs, W2 withholding forms, tax returns for two years, or other proof of having a job and income proof
• Credit card bills for the last few billing periods, or canceled checks for rent or utility bill payments, to show payment history and amount of revolving debt
• Data on other regular debt such as car loans, student loans and store credit cards
• Balance sheets and tax returns, if you own your business
• Any gift letters, if you are taking a monetary gift from your parent or relative or other organization to pay for the down payment and closing costs. This letter has to show that the funds are truly a gift and will not have to be paid back.

By taking with you those items when visiting your Miami home mortgage broker, you will help speed up the mortgage application process.

Also, you may have to give an appraisal fee which will cover the obligatory appraisal of the property you want to buy.

Once you attend your first reunion, you ought to have an answer within 48 hours. In most instances, you may “forget” about the mortgage application process and go on with your life while your Miami mortgage loan broker works hard at obtaining the loan for you.