Option 1: Keep Your Home

Believe it or not, our primary goal is to offer assistance to the people we meet, even if it results in our company not getting the listing, and thus not getting paid for our efforts. Over the years, our business has been successful because we truly care about our clients, and want what is best for them. If we can put you in touch with someone that can help you out of your current situation, we can sleep well at night. 

This is why our first step is to see if you can be helped out of your present situation with a Loan Modification. As you probably know by now, this market has created an abundance of scam-artists who claim to be “Loan Modification Experts”. We have yet to meet one that we feel is truly looking out for our client’s best interests. Most claim to be “looking out for you”, but in reality, they are ultimately looking to buy your home on a Short Sale, and turn around and “flip” it to one of their investors for a substantial profit. Or, they are looking to charge an exorbitant up-front fee for very little, if any, work done on your case. 

If someone approaches you for a Loan Modification, here are 9 steps to take to avoid being scammed by loan modification companies or attorneys: 

STEP 1. Get at least 3 names of recent clients the company has serviced. You want to call each of them and ask if they received good service. The company may offer to give you written testimonials. This is not sufficient, as they could be friends/relatives of employees of the company. You should still be able to verify that these are real clients and the only way to do that is to contact them on the phone. 

STEP 2. Ask for copies of the approval letters or agreements they negotiated with the client¹s lender. They can block out the client¹s private information. You want to make sure that the lender¹s document looks real with an authorized signature approving the agreement with a real past client. 

STEP 3. Check to see how long they have been in business by calling the city where they should have a business license. If the company does not have a business license, that is not a good sign. If the company is new in business, you do not want to be their “guinea pig”. 

STEP 4. Contact the Better Business Bureau to see if there are any complaints on file against the company. 

STEP 5. If a representative makes a house call, ask for the company¹s street address and drive by to make sure it really exists. Go inside; see who¹s there; see if they look well staffed and organized. If you don¹t get a good impression, just imagine the poor impression they will give to your lender, whom they are trying to negotiate with in your behalf. 

STEP 6. Don't ever pay in advance for services. If the company demands to get all their money upfront, that¹s not a good sign. In fact, it¹s a big red flag. Many states have laws that prohibit the collection of upfront fees with the exception of attorneys. Check with the AZ Attorney General’s office for more information. You need to be careful with attorneys as well. Many law firms offering loan modification services are in the news being sued because the attorney mishandled the file. 

STEP 7. Google the company. Check to see if their name shows up on any forums or scam-buster type websites that exposes their bad business practices. 

STEP 8. Interview 2 to 4 competing companies before making a decision. Never feel pressured to make a decision on the spot. 

STEP 9. (Most Important). ASK FOR THE NAME OF THE OWNER(S) OF THE COMPANY. Go to the Arizona Department of Real Estate website. Click on “Online Services”, then click on “Public Database”. Under Licensing, click on “Search for a Salesperson”. Enter the owner or contacts first and last name. If they are licensed, this should be your first red flag. Click on their license number. Scroll down to see if there are any open complaints. Next, look to see if they have any “Open Complaints” against them. Anyone who is licensed as an Agent or Broker, and is also trying to work in the Loan Modification Business is probably an Agent who is just trying to buy your home for less, in order to flip it to an investor for HUGE profits. BUYER BEWARE! The Arizona Department of Real Estate is very aware of this type of activity, and is looking to put an end to it. This type of behavior is in direct conflict with the Fiduciary Duty that all Licensed Real Estate Agents and Brokers are expected to provide to their clients! You can also call the Arizona Department of Real Estate at 602-771-7799. 

We advise our clients to verify who they are and what they have been able to accomplish for other clients and trust your gut. If you don¹t feel comfortable, don¹t hire them. 

We know from our experience that we have yet to find a Loan Modification Firm that we are comfortable with. If you happen to have a good experience, let us know. We would love to send clients to a reputable firm. 

A recent news report (March 20, 2009) on KPHO describes a typical example of the scams we are talking about. Our company has closed more than $250 Million in Real Estate Transactions in the past seven years, all in the Metro Phoenix market. We pride ourselves on treating our clients with dignity, respect, and honesty, and we hope to add you to our list of satisfied customers/friends. 

We advise our clients to talk to a HUD Approved Counseling Agency. They do not charge a fee, and they will give you better advice than any of the crooks that are out in the market today. For a complimentary listing of HUD Approved Counseling Agencies in the Metro Phoenix Area, contact us today using the form on this page, or call us at (602) 957-1583

That brings up our last topic.  In a typical transaction, our team will put in over 50 hours of work (on average) to get your home sold.  Who pays us for our efforts?  Not You!  In our listing agreement, we ask that the lender pays our commission, but only as a result of a successful sale.  You pay NOTHING up front, and you pay NOTHING at the Close of Escrow.  We are here to help!

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