I know what you're thinking....."Hey I'm an at-risk borrower!" Aren't we all?

That said, with defaults mounting, big-time lenders including Citigroup, JPMorgan and Bank of America, have also become more aggressive about modifications to mortgage agreements.

What took them so long? Most likely optimism....the hope and assumption (based on historical data) that it would all just "get better."

From the article on Yahoo: Citigroup says it is imposing a moratorium on most foreclosures as part of a series of initiatives aimed at helping at-risk borrowers remain in their homes — making Citi the latest big bank to announce sweeping efforts to try to curtail losses from souring mortgages.

Citi said late Monday it won't initiate a foreclosure or complete a foreclosure sale on any eligible borrower who seeks to stay in a home if it is the borrower's principal residence, the homeowner is working in good faith with Citi and has sufficient income to make affordable mortgage payments.

So let's have some fun and I will translate for you some of the comments made by Citi Executives and PR people:

Sanjiv Das, chief executive of CitiMortgage, said, "It is in our interest that borrowers stay in their homes and actually make the payments."

Translation: "If we take on another foreclosure while hiring new people to process it we are going to go broke"

Das also said: "There is a huge amount of anxiety among borrowers," he said. "We will reach out to them before they become delinquent."

Translation: I'd like to THUMP these people for screwing up my vacation, yacht and 7th  home plans...can't they just pay their "&$@#* mortgages?

Steve Curnette, President of InsBank Mortgage in Nashville, TN said: "It's nearly an insurmountable undertaking. The number of bad loans that they can modify using their resources is being quickly outstripped by the number of new loans that need to be modified."

Translation: I wonder if Costco is hiring?........"

All joking aside, I am VERY pleased to see this happening. Homeowners need it, the banks need it, the ENTIRE COUNTRY needs it. It is all fun and games to see the foreclosed homes hit the market and figure out a plan to buy them for investment purposes, but at some point it will bankrupt the very institutions we rely on for credit.

 Additionally, (and I may get in trouble with homeowners), we all like to beat up on the big banks but when you truly understand the situation you see that THEY are the biggest losers. The average home-owner ruins their credit, feels stupid around their neighbors, then moves on to an equal or better home for LESS money as a rental.

I'd like to get some opinions from you people out there in OR out of my industry as to whether you like the idea of loan "workouts" or not. 

In the meantime PLEASE contact us if you or someone else you know is in a "bad spot" with their house. We work full-time with these issues and may be able to propose or find a solution to the problem. 

Carry on!