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The economic downturn has snared yet another Housewife.
After defaulting on a $4.6 million loan for their Newport Beach home, Jim and Alexis Bellino, of the “Real Housewives of Orange County,” have been rescued from foreclosure by Chase Bank, the Orange County Register reports.
The couple reportedly failed to pay more than $83,000 and their 4,200-square-foot home was set to be foreclosed and auctioned off to the highest bidder on Aug. 25. But the Bellinos, who have three children, received a loan modification, according to the paper.
Like many American families, they purchased at the height of the real-estate frenzy, when it seemed values could only increase.
Read more from the WSJ
I find it necessary to clear up any misunderstandings regarding our loan modification as the media has once again (inaccurately) blown this out of proportion. Last year at this time I tried talking to our bank about a loan modification and they told me that if you are current, “we won’t talk to you.” In January of 2010, I made the decision to stop making payments so my bank would talk to me. In April they did, and I submitted a loan modification package. The bank didn’t make me an offer to modify my loan until August. The fact is, if the bank would talk to people before being late on their mortgages, we wouldn’t have to go through this mess.
One press outlet misquoted and said that I said, “Im not going to throw good money after bad, it’s just not good business.” What I said is that if you can’t afford your payment then you should short sale or do a deed in lieu of forclosure because it’s simply not good business to throw good money after bad. A lot of Americans are waiting for their banks to call them back — and before long they find themselves in forclosure. The fact is, our government gave us a “PLAN TO MODIFY,” so why are the banks not talking to us unless we stop making payments? I have successfully negotiated my modification and you can to! But make no mistake, I am having to pay over $25,000 in penalties and late fees just because my bank wouldn’t talk to me when I was current.
Being proactive about your finances doesn’t mean you’re broke or bankrupt, it’s simply good business. Am I the only one having these problems with the bank? Your thoughts?