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Todd Said:

upsidedown mortgage in california, need to refi--foreclosure the only option?

We Answered:

What an awful loan program. I would keep pressuring your lender. Threaten to go to the attorney general and to the media if they do not work to help you out of your predatory loan. You would be surprised what they are able to do in terms of calling in favors.

Call your lender. Tell them that you fully intend to go into foreclosure without them getting another penny if they cannot help you out. The only way you are going to get anything done is to play hardball. These people conspired to screw you over. Treat them like the pigs they are.

I would try hard to hold onto the property. Eventually, there is going to have to be some sort of bailout program available, which will help your situation.


To the rest of the people reading this, STOP BUYING CONDOS! There is a reason these things are historically difficult to resell, and they are extremely vulnerable to market swoons. They are a terrible investment. Just because all your friends are buying them doesn't mean you have to.

Stepping off soapbox.

Dianne Said:

Lending Mortgage Company California?

We Answered:

Well, for starters, you need to have a crmla license from the department of corporations if you plan on funding your own loans on a warehouse line and selling them afterwords. The other option is to obtain a brokers license from the department of real estate. A CFL license will only allow you to broker loans to certain lenders. Additionally, the market has changed dramatically in the last year and Fannie / Freddie is fast becoming a thing of the past. FHA will require that you have approval, you will need your own DE endorsement, your eagle approval, and of course, the appropriate net worth. The refinance market is nearly dead, so your market must be in the purchase and REO area's or your never going to make it.

My advice would be to start by hiring someone that knows the business inside and out. Someone that has been a mortgage banker, not a broker. Make sure they understand the laws, have proper contacts with both HUD, VA, FNMA, FHLMC, and is familiar with how to set up a warehouse line, understands the secondary market, and etc.

I would also start doing research on the laws. Make sure you fully understand what is required of you, your employees, subcontactors, and investors.

Lastly, I would certainly enlist a financial planner with in depth experience with mortgage corporations. You will need to budget for expenses for this. It will not be cheap and you are entering at probably the worst possible time considering the current state of affairs in this state.

I have been involved in this industry for 23 years now, and my company, like many others, went out of business this year. The ability to make it through this downturn is dependent on your reserves, and they will need to be pretty sufficient. Good luck.

Charlene Said:

Does anyone know a lender who can do stated retired income for pensions?

We Answered:

That is fraud. BIGTIME. You're not supposed to overstate people's income in a mortgage application. You will lose your license over that. Your best bet is to go No doc or NINA but ensure that they can truly afford the payment.

Don't put people in loans they can't afford.

Greg Said:

Should Congress devise a way of making the CEOs of failed institutions pay instead of the taxpayers? ?

We Answered:

I think making the CEO's pay up some of that lovely bonus money is a novel idea! Why should they get to walk away from their enormous mistakes with all of those millions? If I, the tax payer, am going to have help bail these failing companies, then I think the first people to pony up the money are the people responsible for this whole mess!