Services

A forensic loan audit is the analysis of original loan documents. The main objective of forensic loan audit is to identify predatory lending violations of, but not limited to RESPA and TILA. If there are violations, the audit should include the severity of the violations. These reports are generated by the most sophisticated industry software and run by experienced underwriters and processors

A Forensic Mortgage Audit Report, also called a Forensic Loan Audit Report, can be used as effective leverage by homeowners and attorneys when negotiating with a lender to fight foreclosure or obtain a short sale or get approval for a loan modification. We provide the best possible reports at a very reasonable price which could be a part of your Loan Modification & short sale package.

The FMA is a detailed examination and analysis of the loan documents and disclosures provided to the borrower on the day of closing and it uncovers violations of federal lending regulations including TILA, RESPA, Regulation Z, HOEPA and predatory lending. The Forensic Mortgage Audit will also uncover excessive lender fees and inaccurate calculations of the APR or finance charges that were paid by the borrower.

We perform a detailed document review of initial mortgage documents our team of experts in lending laws perform a comprehensive and detailed review and analysis of mortgage documents. We identify actionable violations, including but not limited to:

• (TILA) Truth in Lending Act

• (RESPA) Real Estate Settlement Procedures Act

• (ECOA) Equal Credit Opportunity Act

• (FCRA) Fair Credit Reporting Act and

• (FACTA) Fair and Accurate Credit Transactions Act

• Predatory Lending and Excessive Fees

• Steering and Targeting

• Misrepresentations from Mortgage Brokers

• Inflated Appraisals

• Usury Violations

• Excessive ARM Adjustments

• Excessive Points & Fees

• Predatory Lending

• Forgery

• Loan Flipping

• Negligent Misrepresentation by Lenders by failure to verify your income

We provide competent and comprehensive forensic loan audit support services. Each Loan Document is carefully reviewed by qualified and experienced professionals from Mortgage industry for violations of Federal and state laws. The turnaround time is very low for the reports and pricing is very competitive as per the industry standards.

“A short sale is a sale of real estate in which the sale proceeds fall short of the balance owed on the property’s loan. It often occurs when a borrower cannot pay the mortgage loan on their property, but the lender decides that selling the property at a moderate loss is better than pressing the current debtor. Both parties consent to the short sale process, because it allows them to avoid foreclosure, which involves hefty fees for the bank and poorer credit report outcomes for the borrower.” Wikipedia” Short Sale process is only successful, with a help of thorough professional study & Research, frequent follow ups, persistence & prompt action”.

Further Explanation: – “A short sale is the sale of your home for an amount less than the amount you still owe on your mortgage. The sale does not have to be to your lender, but your lender has to agree to it. Borrowers choose this option when they cannot afford to continue making monthly mortgage payments and cannot pay the difference between the sale price and the unpaid mortgage amount. However, the borrower is not freed from his obligation to repay the remaining mortgage balance unless the lender agrees. Many lenders require that disadvantaged borrowers provide proof of economic or financial hardship before agreeing to a short sale.”

Why Outsource your work to Sigma?

Short Sale is a tedious process, which needs very methodical procedure to go through a lot of research is needed for a successfully negotiated short sale. We know it takes anywhere between 20 to 180 days and with that kind of TAT you tend to lose track of where the process was when last you had a conversation with the Negotiator. We have the patience to hold the line for hours and hours, unless we have a solution to our query {though a thankless job}. We have all the possible software’s & techniques to convince the lender how a short sale would be beneficial to them rather than choosing the option of foreclosure

Understanding Loan Modification/Restructuring, Mortgage restructuring is a process where the terms of a mortgage are changed / modified from the original terms of the contract agreed to by the lender and borrower. A modification can result or impact the loan in following ways.

• Reduced interest rate or a change from a floating to a fixed rate

• Principal Reduction

• Reduction in late fees or other penalties

• Increasing of the loan term

• Possibility of Capping the monthly payment to a percentage of household income

When the terms and conditions pertaining to the home loan are changed permanently it is called loan restructuring/modification. Major modifications sought by the applicants are with reference to a reduction in the monthly payment, reduction in the rate of interest, reduction in the total pending amount, exoneration from the penalties due to irregular payments or a blend of all the changes. To summarize, reduction in the monthly payment and respite from the financial crisis is a sign of a good loan modification program.

“85% of Loan Modifications are denied for wrongly submitted packages and incorrect documentation”

The number one reason lenders have given for denial is the borrower’s failure to accurately and completely fill out the application. Experts have confirmed that the modification paperwork takes longer and is more complex than the original loan process. Lenders claim the paperwork submitted for review is missing items or contains inaccurate forms. Experts say, given the number of applications lenders need to process, flaws in the presentation of the application package has resulted in delay or denial.

“A short sale is a sale of real estate in which the sale proceeds fall short of the balance owed on the property’s loan. It often occurs when a borrower cannot pay the mortgage loan on their property, but the lender decides that selling the property at a moderate loss is better than pressing the current debtor. Both parties consent to the short sale process, because it allows them to avoid foreclosure, which involves hefty fees for the bank and poorer credit report outcomes for the borrower.” Wikipedia” Short Sale process is only successful, with a help of thorough professional study & Research, frequent follow ups, persistence & prompt action”.

Further Explanation: – “A short sale is the sale of your home for an amount less than the amount you still owe on your mortgage. The sale does not have to be to your lender, but your lender has to agree to it. Borrowers choose this option when they cannot afford to continue making monthly mortgage payments and cannot pay the difference between the sale price and the unpaid mortgage amount. However, the borrower is not freed from his obligation to repay the remaining mortgage balance unless the lender agrees. Many lenders require that disadvantaged borrowers provide proof of economic or financial hardship before agreeing to a short sale.”

Why Outsource your work to Sigma?

Short Sale is a tedious process, which needs very methodical procedure to go through a lot of research is needed for a successfully negotiated short sale. We know it takes anywhere between 20 to 180 days and with that kind of TAT you tend to lose track of where the process was when last you had a conversation with the Negotiator. We have the patience to hold the line for hours and hours, unless we have a solution to our query {though a thankless job}. We have all the possible software’s & techniques to convince the lender how a short sale would be beneficial to them rather than choosing the option of foreclosure

Understanding Loan Modification/Restructuring, Mortgage restructuring is a process where the terms of a mortgage are changed / modified from the original terms of the contract agreed to by the lender and borrower. A modification can result or impact the loan in following ways.

• Reduced interest rate or a change from a floating to a fixed rate

• Principal Reduction

• Reduction in late fees or other penalties

• Increasing of the loan term

• Possibility of Capping the monthly payment to a percentage of household income

When the terms and conditions pertaining to the home loan are changed permanently it is called loan restructuring/modification. Major modifications sought by the applicants are with reference to a reduction in the monthly payment, reduction in the rate of interest, reduction in the total pending amount, exoneration from the penalties due to irregular payments or a blend of all the changes. To summarize, reduction in the monthly payment and respite from the financial crisis is a sign of a good loan modification program.

“85% of Loan Modifications are denied for wrongly submitted packages and incorrect documentation”

The number one reason lenders have given for denial is the borrower’s failure to accurately and completely fill out the application. Experts have confirmed that the modification paperwork takes longer and is more complex than the original loan process. Lenders claim the paperwork submitted for review is missing items or contains inaccurate forms. Experts say, given the number of applications lenders need to process, flaws in the presentation of the application package has resulted in delay or denial.