How do I know if I am a victim of predatory lender?

[miabs]

Hello,
I've read all the things in this website and the struggles the homeowners are going through right now and I lost hope.

I have reviewed my contract and it showed that the total sale price of the house I bought in CA was $481,000 but the appraised value was only $486k.

I don't know if the appraiser and the builder over appraised my house
to $486k. I can not afford to make my monthly payments and missed several months of payments. My house is currently for sale but I don't know when it's going to be sold. How do I know if I am also a victim of predatory lender?

Thank you very much for your help.

Mia

[Cat Damiano]

Mia,

An appraisal that comes in 5k more than the purchase price is not off or over appraised........for a purchase an appraisal is usually at or slightly above the purchase price.......

What is your current interest rate?
One loan or two?
What state are you in?
What type of loan do you have......ie.....interest only, adjustable rate?
What are the terms.....ie.....2yr adjustable, 5yr adjustabe, or fixed rate 30 yr.....?

Predatory Lending, What to Look For

[miabs]

5.875%
2 loans, no refinance, CA, interest only will reset 2011, 5 yr adjustable
don't have job anymore, only 1 income not enough to pay mortgage.

Thanks,
Mia

[Cat Damiano]

at 5.875% 5 yr arm isn't very predatory.........to get that kind of rate you would have had to qualify.........it isn't a stated loan rate.

Living in California and having purchase money loans you could go to the search at the top of the posts and search 580b.

That will give you some insight as to what you face as a California homeowner..........which from what I read.......if you do have purchase money loans isn't all that terrible........

Look that up so you can educate yourself..........and consult with an attorney with knowledge in real estate law to help you if you have questions regarding this ruling......