1. Who really owns my mortgage?
Answer: Because mortgage loans are frequently sold, you may not know who really owns your mortgage loan. Often, the servicer you pay each month is not the owner. By law, if your mortgage loan is sold, the new owner is required to send you a notice within 30 days of the effective date of the transfer disclosing: 1) the name, address, and telephone number of the new owner; 2) the effective date of the transfer; and 3) whether the transfer in ownership is recorded in the public records.
If you are unsure who owns your mortgage loan, there are several ways to find the answer.
- Send a Request for Information (“RFI”) to your mortgage servicer. Your servicer is required to provide, to the best of their knowledge, the name, address, and telephone number of the owner of your loan.
- You may be able to look it up online. Many mortgages are owned by Fannie Mae and Freddie Mac. Both offer a mortgage look up tool on their website.
- You can look up your mortgage servicer and investor (i.e., owner) by searching the Mortgage Electronic Registration Systems (MERS) website if your Mortgage or Deed of Trust are registered with MERS; however, the information on the MERS system may be outdated.
- You can search your local land records for Assignments of your Mortgage or Deed of Trust, but many transfers are not recorded in the land records. Often, Assignments are made to the loan servicer, not to the owner.
- Your loan may be owned by a securitized Trust. You may need to contact a professional such as McDonnell Property Analytics to help you research your loan ownership.
2. Why am I getting letters from different companies about my loan?
Answer: There could be several reasons.
- Perhaps your Note was sold.
- Your servicing may have been sold.
There may be another reason. You should send a Request for Information
3. Who is really entitled to collect my monthly mortgage payments and/or foreclose on my mortgage?
Answer: The servicer – working on behalf of the mortgage owner – typically processes your loan payments, responds to borrower inquiries, keeps track of principal and interest paid, and manages your escrow account (if you have one). The loan servicer may also initiate foreclosure under certain circumstances.
You should send a Request for Information for the identity of the Investor or Mortgage Owner.
4. Why is my mortgage loan being sold again?
Answer: Your loan or the servicing of your loan may be sold because it is in default or because there are underlying problems with the loan documents. Perhaps the original Note has been lost. You should collect and organize all your documents and send a Request for Information whenever the servicing of your loan is transferred.
5. I have a fixed rate loan. Why does my monthly mortgage payment keep increasing?
Answer: Although the principal and interest portion of your monthly payment will not change with a fixed loan, your monthly payment may increase (or decrease) because of changes in escrow items, i.e., property taxes, homeowner’s insurance, etc. Make sure any changes are legitimate by checking with your taxing authority and your insurance company. If you still have questions, send a Request for Information. If questions or problems persist, get professional assistance.
6. I have made all my mortgage payments on time. Why am I in default?
Answer: You may end up in default due to servicer errors or manipulation of your escrow account. Hopefully, you have been keeping good records of your payments. You should send a Request for Information asking for a transaction history and hire McDonnell Property Analytics to perform a Financial Forensic Examination.
7. Is there a way to make my mortgage company negotiate a fair modification?
Answer: Not without professional assistance.
8. Is my chain of title corrupted?
Answer: It could be. You can check the documents filed against your title at your local land records office, but they may not be accurate or complete. If you’re concerned about title issues, you should hire McDonnell Property Analytics to perform a Forensic Title Examination.
9. Why can’t I get a loan modification?
Answer: There may be many reasons for this.
- You may not qualify for a modification.
- Your income may be too high.
- You may have too much equity in your home.
- Foreclosure may be a more profitable option for your Investor.
10. How can I prevent a foreclosure?
Answer: There are steps you can take to stop a foreclosure.
- You can submit a loan modification application.
- You can send a Notice of Error.
- You can always file for bankruptcy.
- You should consult an attorney.
- Contact McDonnell Property Analytics to analyze defects in your mortgage loan and servicing documents.
11. Can I stop a pending eviction?
Answer: Possibly, but this requires a specific analysis that even many attorneys do not know how to conduct. You should contact McDonnell Property Analytics to analyze potential defects in the foreclosure procedures and notice(s) of default.
12. Why won’t my servicer listen to me?
Answer : If this is the case, you will need to escalate the communications and commit your dispute to writing. Keep a phone log of all your conversations and copies of all correspondence sent and received. You may also need the assistance of a professional.