What is Loss Mitigation?
A process to avoid foreclosure; were the borrower is helped through programs, who has been unable to make loan payments and is in danger of defaulting on his or her loan. Reduction in risk of home mortgage foreclosure. The Agency’s loss mitigation approaches generally fall into two broad categories -- (a) those which, if utilized successfully, would result in curing the default and retaining homeownership and (b), those which would result in the relinquishment of homeownership, by means of a sale to a third party or by a voluntary conveyance of the property by deed in lieu of foreclosure.

What does the actual Loss Mitigation process entail?
Once you complete the pre-qualification process with your client and the client submits the required documentation and deposit, our underwriters will take over your case. The Loss Mitigation process entails negotiating the default amount with the lender and arranging for this amount to be completely waived or financed into the loan amount. If the default amount is financed into the loan, the clients monthly payment may increase a bit over the life of the loan, but eliminating this default allows the homeowner to keep their property, which is our main objective. This negotiation process is handled completely by the USLM staff on your clients behalf. You personally will never have to negotiate with the bank. We do not take on cases that we cannot close (that's the reason for the pre qualification process). 

If a homeowner is currently behind on their mortgage, how will they be able to afford to pay for Loss Mitigation services?
When a homeowner falls 2-3 months behind in their mortgage, the lender will not accept a partial payment on the mortgage. Many homeowners have managed to get through the hardship that caused them to fall behind on their mortgage only to find that now, the mortgage company is returning their partial payments. The lender is now demanding that the default amount be paid in full. When penalties and interest are added to the mortgage that is now 2-3 months behind, the total payment due can be enormous. In my experience have found that for the homeowner to pay $1000, $1500 and in some cases even $2000 for Loss Mitigation services is never a problem for the delinquent homeowner because they have not made a mortgage payment in quite a few months by the time that they are seeking your help. It's much more feasible for the homeowner to pay a fee of $1500 than to have to come up with a default amount that could total as much as $6000-$7000 in order to keep their home.

What are my responsibilities as a Loss Mitigation Consultant?
As clients come to you in need of foreclosure assistance, your primary responsibility is to pre-qualify the client. This is done online via your own Loss Mitigation website. Once it is determined that the client qualifies for our program, you simply print a copy of their completed application, print out a copy of the Standard Workout Agreement (which you will have access to in your back office), and mail these documents to the client. A Standard Workout Agreement completed by the client gives our underwriters authority to begin the mitigation process with the lender. Once completed, the above documents along with the required fee are mailed by the client to our home office which is located in Virginia. At this point, your responsibility to the client is complete. Once the home office receives the Workout Agreement and deposit, the client will be assigned a Case Worker and the Loss Mitigation process will begin. You will be continuously updated via email by the home office throughout the mitigation process and when the case closes, you will receive your commission check.

Is this a work-at-home scheme?
Loss Mitigation field is not a franchise, business opportunity or work-at-home scheme. While our program does enable you to start and operate a loss mitigation practice from home, it also has the added advantage of an existing infrastructure created and supported by the various federal agencies. The need for loss mitigation counselors is generated by the system and is not diminished by time or over saturation as is true with most business opportunities. These characteristics make loss mitigation field as much a reliable career as it is an opportunity for you to start your on loss mitigation practice.

Do I have to meet with each client?
Not if you use our approach! Our program shows you how to practice in the most efficient way possible. We do not recommend that our counselors meet with each and every client this would result in an unproductive outcome. This business has and can be successfully run from your home or office; you can start part time or full-time in this business. The potential for this business is unlimited. 

Is there a market for this service? 
Nationwide, there is an enormous untapped pool of potential customers desperately in need of sound loss mitigation representation. The National Mortgage Delinquency Rate is approaching 15% and there is literally no competition in the industry. Along with that, foreclosures are hitting a 30-year high with over 5 million last year and an anticipated 6 million plus this year and higher. Taken together, these sources represent a nearly inexhaustible supply of potential customers for your service.

Is there growth potential? 
You bet there is! Due in large part to the economy, ever changing job markets, large influx of new inexperienced homeowners of the last couple of years and the ease of availability of credit and the public's growing awareness of the loss mitigation program, a steadily expanding market is being generated that ensures the future of loss mitigation field for generations to come.

How much can I charge?
How much a loss mitigation counselor is paid is up to you, the average fees charged are from $995 to $1,200 for a given case. The actual amount paid for representing a homeowner differs depending upon a number of case factors, including the onset of the case and the client's mortgage history and financial condition. Our average fee is $1200 per case. Your earnings out of the $1,200 is $805.00. 

How much can I earn?
If you have an average of 5 cases a week and charge $1200 per case, this would result in the following: $1200 fee @ 5 cases = $6000/week to you gross minus $1,975 outsourcing cost by USLM = $4,025/week to YOU that's $209,300 per year earning potential. If you were just doing two cases per week (that's less than half the effort) you could earn potentially $83,720 per year. 

Is this an MLM program? Do Consultants get paid for referring others to this opportunity?
No, this is not an MLM opportunity. New Consultants should expect to be paid on their efforts alone. They do not have the option of referring people into the company.

Will this opportunity make me an employee of US Loss Mitigation or will I be an Independent Contractor?
This opportunity is your business. You will be an Independent Consultant responsible for all aspects of your business including paying taxes on your earnings.

How long does it take to complete a case? 
Our average case takes less than 15 days to 30 days – some are completed within a 24 hours. If you understand our outsourcing process, you will quickly realize the simplicity of our program. We do all the work from assessing to completion - that’s 90% to 95% of the work. This will result in freeing up time to allow you to interview more potential clients and earning a better income.  Secondly, there’s the added benefit to your client of receiving 22 years of loss mitigation creditability, experience and reliability that results in a favorable outcome for your clients cases. 

How long does it take to complete the training? 
You can start earning immediately within 24 to 48 hours of starting. 

What equipment do I need? 
To operate a Loss Mitigation Practice, you need a personal computer with Internet access, a printer and a telephone. 

Can this business be promoted online?
Yes. We have Consultants that market their businesses solely online and others that market via their community newspaper or magazines.

How are leads obtained?
We offer Consultants several lead capture websites that are very effective in generating new foreclosure leads online. You may also obtain leads through advertising in newspapers, magazines, radio, TV, billboards, flyers...etc. You may also choose to purchase your leads through US Loss Mitigation. Leads cost $19.00 each. Lastly, a great source of Foreclosure leads is RealtyTrac. RealtyTrac subscribers have access to over 500,000 foreclosure properties nationwide. The property address, owners contact info, and in some cases a picture of the property can be obtained in any part of the country you like. You can get a free 7 day trial subscription to this service by clicking on the RealtyTrac icon. 

What type of closing ratio can I expect on leads that I purchase through US Loss Mitigation?
You can expect a 5% to 33% closing ratio from the leads that we provide. It really depends on the your individual effort, case criteria and how aggressive you are at following through with these leads. Our clients are very interested in getting quick results and will contact a competitor if they are not happy with the speed of the communications. We recommend contacting the customer as soon as you get the lead so you can be the first to earn their business. 

May I use my own lead sources or am I restricted to purchasing leads through USLM? 
As a Loss Mitigation Consultant, you are free to generate your own leads from any source that you choose.

Do I have access to the whole United States in looking for leads, or am I confined to my own State?
We can do business in every State in the US accept North Carolina.

Disclaimer: OwnerWillCarry.Com takes no responsibility for issues that may arise between buyers and sellers of Real Estate advertised on this site. We recommend that you seek the advice of a competent Real Estate attorney before entering into any legally binding transaction.