A mortgage loan audit can go by several names, including a forensic audit or a forensic document review. The main purpose of a mortgage loan audit is to check for violations of loan or real estate laws on the part of your lender so that you can more easily avoid foreclosure.
This is accomplished by acquiring a loan modification in your favor. See, it is a lot easier to demand a loan modification when you have proof of illegal actions on the part of the lender. Lenders and banks are strictly governed by the Federal Government, and even the slightest violation is grounds for action.
In other words, say that you are paying a huge sum of money every month as a mortgage payment.
- Do you feel like the conditions of the loan are not fair?
- Or, do you feel like something is just out of place?
- Or, for that matter, are you just struggling to make loan payments while your lender turns a deaf ear to your plea for a loan modification?
If any of these describe you, then a mortgage loan audit might be exactly what you need.
Beware of scammers and shady kitchen top loan auditors!
The economy is in utter turmoil right now and it is hard to make a buck on Main Street. Even all the mortgage brokers and loan officers are out of work. But the facts are many are out scamming innocent homeowners with the mortgage audit or forensic loan document review. Beware of these shady companies and I recommend only getting a mortgage audit from an actual law office that can do something if there is predatory lending violations on your loan.
What the hell is Joe the Loan Officer going to do if he finds violations on your loan? He can't do much folks! So don't do business with Joe or any mortgage broker in order to avoid getting swindled out of your hard earned cash.
The audit helps mainly only homeowners with a primary residence and loans that are refinanced in the last 3-4 years because the laws with the most teeth fall under the Truth in Lending Act (TILA). TILA only cover certain mortgage loans and your must qualify in order to be protected by this Federal Law.
If your mortgage is a purchase money loan or 2nd home/investment property, then most likelythe audit will not do much good to help you because it does not fall under TILA and the other laws that may have been broken offer very little recourse. But an attorney still can assist you with a loan modification.
The attorneys in the field of loan auditing can go through all of the numbers, dissecting and looking for anything unscrupulous or illegal with your loan. Statistics show that most loans given out in the past five years have had faulty documentation and mistakes, meaning that you might be entitled to a nice loan modification and not even know it.