This is the story of Yolanda from Compton, California. We will not use her last name to protect her privacy.
Yolanda is a single African American woman on a fixed income due to disability. Yolanda owed $274,000 in an adjustable rate mortgage with an 11.75% interest rate, paying $3,360 per month. Yolanda was 5 months behind in her mortgage due to her payment increasing facing foreclosure. The lender offered her a modification, and the initial offer was to bring her loan current and an 11.35% adjustable rate.
Operation HOPE negotiated with the lender and they offered her a 5.5% fixed rate with a payment of $1,655.
Yolanda was extremely happy with her modification, arranged through Operation HOPE, allowing her to remain in her home with an affordable payment.
A small bonus to this story for me — Compton, California is my hometown.
A special thank you to Jason Yancey and his team at HOPE Coalition America, and the Mortgage HOPE Crisis Hotline.