AMERICAN HOMEOWNER PRESERVATION HELPS FIRST-TIME CHICAGO HOMEBUYER FIX A BIG MORTGAGE MISTAKE

Chicago, IL (PRBuzz.com) August 22, 2013 -- American Homeowner Preservation (AHP) announced today a successful mortgage modification for first-time Chicago homeowner Mattie Griffin, helping the Griffin family avoid foreclosure and stay in their home. AHP was able to provide the Griffins with a principal reduction of 77%, a monthly payment reduction of 75% and settlement of delinquent payments for just 7% of the total owed, making the home and mortgage affordable for them in the long run.

Griffin, a hard-working florist, provides a home for herself, her children and several of her grandchildren. She purchased the home to provide her family with a sense of security and a place to call their own. As a first-time homebuyer, she didn't know much about mortgages when she went through the process, and she trusted that the person who sold her the mortgage was offering her a good deal. She ended up with a large monthly payment of around $2,500 and an interest rate of nearly 10%, much higher than the going rate, but she believed that it was the best she could do - at least that's what they told her.
The payments were high, but she managed to make it work. Then, the economy crashed and Mrs. Griffin's income dropped dramatically because business was down - people who had lost their jobs were not buying flowers, they were struggling to survive. In an economy in recession, the mortgage quickly became more than the family could manage, and they fell behind on their mortgage payments.
Mrs. Griffin's attempts to modify her mortgage with her original lender or refinance through another lender were labor-intensive and ultimately unsuccessful. By the time she received an offer letter from American Homeowner Preservation, she had little hope she would be able to keep her home.
When she received her AHP offer letter, she and her family were very skeptical - they thought it was a scam like so many other offers they had received that went nowhere. However, after researching AHP and talking to a mortgage broker who confirmed that the organization is legitimate, they went to the AHP offices in Chicago to discuss their offer.
"American Homeowner Preservation was different from everyone else we had dealt with," said Theos Griffin, Mrs. Griffin's son. "Other lenders treat you like just another business deal - they couldn't care less about you. AHP was understanding, sympathetic and sensitive to our situation - they treated us like people, not numbers, and they really wanted to help us keep our home. It was a big difference."
Jorge Newbery, Founder and Chief Executive Officer of American Homeowner Preservation, says the Griffins' situation is not all that uncommon. "Mortgages can be very complex, and first-time homebuyers often don't understand how to evaluate the mortgage someone is selling them  compared to other options that might be available," he said. "Unfortunately, mortgage lenders are often incentivized to sell mortgages that may not be the best for a particular family's situation, because they earn a higher commission. So it's important for all buyers, especially first-time buyers, to carefully consider all aspects of their mortgage before they make a final decision and to make sure that they are getting the best deal they can." Newbery continued, "In the Griffins' case, there was never any intent to not pay, they just needed a mortgage they could afford given their new economic reality. It is very gratifying to be able to offer this family the fresh start they needed to be able to stay in their home."
Theos Griffin says the family really appreciated AHP's approach and is very thankful for the help. "They made us aware of options we hadn't even thought of and explained everything to us clearly, so we know what we were signing up for and that it would be workable for us." He concluded, "We were in disbelief that it could be real, that there could be a way to stay in our home. Once we realized we could, we were overjoyed. We were very satisfied with what American Homeowner Preservation has done for us."

American Homeowner Preservation purchases pools of challenged mortgages from banks and other lenders and then offers borrowers solutions who want to stay in their homes viable, sustainable solutions with reduced payments and discounted principal balances. If homes are vacant or families want to move, AHP offers deficiency waivers and incentive payments to cooperate with short sales in order to put the homes back into service. To learn more about how AHP helps prevent foreclosure and preserve neighborhoods, please visit www.ahphelp.com, call (800) 555-1055 or email info@ahphelp.com.

AMERICAN HOMEOWNER PRESERVATION HELPS CHICAGO FAMILY AVOID FORECLOSURE

American Homeowner Preservation (AHP) announced today it has completed a mortgage modification for a Chicago family, ending their 3-year mortgage nightmare that almost ended in foreclosure. By working with AHP, the family was able to reduce their monthly mortgage payments by 54%, reduce their mortgage principal by two-thirds and settle their delinquency at a 96% discount. With these modifications, the family was able to avoid foreclosure and stay in their home.
The married couple fell into arrears on their mortgage when the husband was laid off in 2010 from his 15-year job as a professional house painter. Despite a dogged search, he was only able to find temporary part-time work because of the depressed job market. The wife’s wages as a school security guard just weren’t enough to make up the difference, so they fell behind on their mortgage payments.
The family’s experiences working to resolve their difficulties with their lenders were typical of others in the same situation: as soon as they thought they were making progress toward a loan modification, the lender lost their paperwork or sold their loan, eliminating credit for payments they had made and requiring that the whole process be restarted. The family tried to modify their mortgage or refinance with their original lender plus three additional lenders, but none of their efforts was successful. By the time they received an offer from AHP, they had all but lost hope they could ever stay in their home.
After carefully researching AHP, they called to discuss their options. “This family was intent on staying in their home, and AHP wanted to help them accomplish this,” says Jorge Newbery, Founder and CEO of American Homeowner Preservation. “In their case, we were able to offer them a substantial reduction on their principal, from $177,000 down to $60,200. Further, we settled the $70,000 delinquency for $2,500, spread over two installments. Finally, we dropped the monthly payment from $1,508 to $700. The results are financially transformative for the family and generate strong returns for our investors. This really is an example of our ability to create a positive outcome for everyone concerned—the family, the neighborhood and our investors – while avoiding all of the negatives that accompany a foreclosure.”

American Homeowner Preservation Celebrates Five Year Anniversary

American Homeowner Preservation (“AHP”) is celebrating five years’ of providing families at risk of foreclosure with viable long-term solutions to stay in their homes. Founded in 2008 as a 501c3 nonprofit in Cincinnati, AHP pioneered the short sale leaseback as a foreclosure remedy for struggling homeowners. Faced with resistance from many banks which insisted that families vacate their homes in order to have their short sales approved, AHP changed their strategy in early 2011: now a for-profit headquartered in Chicago, AHP purchases pools of nonperforming mortgages from banks and other lenders and then offers borrowers sustainable solutions to stay in their homes, including reduced payments and discounted principal balances. If homes are vacant or families want to move, AHP offers deficiency waivers and incentive payments to cooperate with short sales in order to put the homes back into productive service.

Originally modeled to be financed with municipal tax-exempt bonds, American Homeowner Preservation’s efforts are now primarily supported by accredited investors, both high net worth individuals and institutional investors. “Doing good for families and communities and doing well by achieving attractive returns for our investors do not have to be mutually-exclusive–achieving both is possible,” said Founder and Chief Executive Officer Jorge Newbery. Since inception, AHP has assisted hundreds of families, reducing payments by an average of over 40% and cutting principal balances by an average of more than 50%. “Solutions are prompt, easy-to-understand and simply require families to choose the option they want. We avoid the endless document requests and opaque, inefficient processing of the big banks,” explained Asset Manager Michael Nelson

Further, American Homeowner Preservation has helped return hundreds of abandoned, vacant homes to productive use. “Frequently, families are overwhelmed with the threat of foreclosure, do not understand their options and get frustrated with the never-ending maze laid out by their banks. Thus, they move out, the homes get vandalized, and the neighborhood is further blighted,” explained Newbery. “Many lenders apparently hesitate at foreclosing on vacant, vandalized homes due to municipal requirements to maintain and they sell these loans to AHP. We will try to contact the homeowners and offer them a modest cash incentive to sign a Deed in Lieu or cooperate with a short sale. We prefer paying struggling families than paying lawyers to foreclose,” Newbery added. “Returning these homes to productive use is essential to the stabilization of many communities devastated by the foreclosure crisis.”

American Homeowner Preservation’s evolution continues, but the mission of helping families stay in their homes remains the same. “Even with the recent improvements in some housing markets, there are still millions of homeowners at risk of foreclosure who are struggling to stay in their homes.” said Newbery. “AHP wants to help these families.”

AMERICAN HOMEOWNER PRESERVATION HELPS NEW JERSEY HOMEOWNER AVOID FORECLOSURE

American Homeowner Preservation (AHP) announced today it has completed a mortgage modification for New Jersey homeowner William Beltran, ending his 3-year mortgage ordeal and enabling him to stay in his home of more than a decade. After purchasing Beltran’s mortgage, AHP was able to provide a principal reduction of almost 30 percent and reduce his monthly payments to an amount affordable based on his current income, saving the family from foreclosure.

Beltran, a psychologist, initially ran into mortgage trouble after developing a chronic medical condition that adversely impacted his ability to work. He tried to resolve his mortgage problems in a number of ways on his own, including seeking a mortgage modification from his original lender, seeking an independent refinance, applying for help from the federal government’s Home Affordable Refinance Program (HARP), working with an attorney and turning to a local nonprofit organization. None of these efforts were successful, and many of them added further to his indebtedness–the attorney alone cost $11,500, which turned out to be wasted.

When he received an offer letter from American Homeowner Preservation, Beltran was skeptical. “It sounded too good to be true,” he said. After speaking with other homeowners who had worked with AHP and checking the firm’s record with the Better Business Bureau and elsewhere, he started to believe they really could help. Then, he called AHP to discuss his options.

“Talking to AHP was the first time in a long time I felt like I was treated with respect, not contempt,” Beltran said. “We had an honest discussion of my options and my situation, and I was not pressured to choose one option over another. Once I decided what I wanted to do, the process couldn’t have been easier. I only had to submit my documents once and they were received– before, I was dealing with never-ending document requests even after I had already submitted them multiple times.”

“William is a great example of how an unexpected health problem can snowball into a foreclosure situation. He was doing everything right, everything the government and big banks tell families to do, yet he and the majority of families end up worse off,” said Jorge Newbery, Director of American Homeowner Preservation. “To help him stay in his home and end his anxiety so he can focus on his health and his family is very rewarding,” Newbery continued. “And to be able to do that while still providing our investors with a solid return so we can help others in the same situation is even better. Doing good for families and communities and doing well by achieving attractive returns for our investors do not have to be mutually-exclusive–achieving both is possible. ”

William couldn’t be more pleased with the outcome of his relationship with AHP. “I am infinitely happy,” he said. “It is incredibly thrilling and humbling to be able to stay in my home, especially since, for a while, I was pretty much waiting for the sheriff to show up at my door at any time. Selling or moving was not something I even wanted to consider. This is my home – it’s where my children grew up and where I have a lifetime of memories. I am so grateful.”

American Homeowner Preservation (“AHP”) purchases pools of challenged mortgages from banks and other lenders and then offers borrowers who want to stay in their homes viable, sustainable solutions with reduced payments and discounted principal balances. If homes are vacant or families want to move, AHP offers deficiency waivers and incentive payments to cooperate with short sales in order to put the homes back into service.

To learn more about how AHP helps prevent foreclosures and preserve neighborhoods, please visit www.ahphelp.com , call 800.555.1055 or email info@ahphelp.com.

American Homeowner Preservation and Millstone Landing Collaborate to Lease Option Homes

American Homeowner Preservation LLC, pioneers of the short sale leaseback to assist families at risk of foreclosure, has entered into an agreement with Millstone Landing LLC, the owners of a gated 613 single family development in Vero Beach, Florida, to offer lease options to credit-worthy buyers who cannot obtain financing in today's tight credit environment. Millstone Landing features newly-built quality homes nestled amongst lakes and a nature preserve.

The original developer, Shelby Homes, ended up in bankruptcy after defaulting on a construction loan amounting to $370,000 per home. In 2008, the average sales price of a Millstone Landing home was $618,000. Today, these same homes are offered new for under $260,000, and AHP investors can acquire for $155,000 subject to the leases and options to the end-user buyers. Typically, the end-user buyers are paying Millstone Landing a 10% option deposit and receive a two-year option and two-year lease. The monthly payments average $1,900 monthly, with $900 being credited to the eventual purchase.

For example, a British airline captain, who earns $120,000 annually from his six-year position with BMI Airlines, is under contract to purchase a 3,200 square foot Millstone Landing home for $235,000. Having difficulty qualifying for financing due to their foreign national status, this family wants to execute a lease and option now in order to take advantage of today's depressed prices. After paying a $30,000 deposit, this family can exercise their option to purchase anytime over two years by paying the remaining $205,000. The AHP investor buys the home for $155,000 and receives $1,905 monthly. When the option is exercised, AHP's investor receives $170,500, AHP receives their program fee of $7,750 and the subdivision owner receives the remaining $26,750 minus the $900 monthly credited towards the option price.  In this case, the captain intends to sublet the home until relocating in the future. Similar homes nearby lease for $1,400 - $2,250. The projected annual return to AHP's investors is 16%.

"If financing was readily available, we would be sold-out. However, many prospective buyers cannot qualify for financing, despite strong income and positive credit histories. Thus, American Homeowner Preservation's Lease Option program is a tool which enables us to sell our homes faster. We do take a bit of a hit on the pricing in order to deliver the yield AHP's investors require, plus we have to defer some of our return," said Brian Plunkett, one of Millstone Landing's principals. "Still, the ability to promptly move our inventory and save many months of holding costs makes AHP a good solution for Millstone."

"We are delighted to expand the use of AHP's Lease Option model, particularly at a high-caliber development such as Millstone. The U.S. housing market will remain weak until the excess inventory is sopped up. With a dire lack of financing, many families are unable to take advantage of  today's depressed pricing," said AHP's Director Jorge Newbery. "AHP's Lease Option program fills a void, getting families into homes at attractive prices and terms, facilitating the rapid disposition of inventory by subdivision owners and generating strong returns for AHP's investors." 

American Homeowner Preservation Helps Keep Veterans In Their Home

We came across AHP while out looking for a place to rent since our house was scheduled for sheriff's sale. We had been working for months with a loan modification company. The only thing they did for us was take our money. We told our story to the landlord of a prospective rental home and he hooked us up with AHP. We can never thank him or AHP enough. AHP and Jorge Newbery went above and beyond to help us stay in our home. We now have the opportunity to purchase our home back in a few short years. My husband and I settled in our home after returning from military service overseas. Our children have grown up here and we have all established deep roots in the community. It would have been devastating to move. Thankfully, we no longer have to worry about that. We did plant our Blossoming Cherry tree that we promised our children if we stayed here. It is very beautiful and has blossomed for the first time this summer. I would tell others going through the same thing that we did to not give up. They should not allow their desperation to steer them in the direction of unscrupulous loan modification companies. AHP is the all that they say they are and then some. Thanks to the grace of God and AHP we are able to stay in our home and continue making memories.

We Saved Another One!!

AHP helped us save our home. Without the help of GOD first, AHP and the our real estate lawyer, the bank would of foreclosed on our home. I was laid off of my job in December 2010 and could not qualify for any bank program, which we couldn’t afford anyway. My husband and I owed $192,000 on our home and AHP negotiated the sale for $60,000, approx 70% savings. Now we can get our home back at an affordable price and we never had to move. Our friends and family didn’t believe the program would work, but now they have seen the results for themselves. The people at AHP really work hard for their clients. I have never seen such wonderful customer service and dedication in the owners and staff at AHP. We are constantly recommending AHP to our friends and family who are facing a similar situation.