My introduction to the real estate business was as a loan officer for a large Texas mutual savings and loan association.
I think because I was the low man on the totem pole, I was in charge of trying to work out pending foreclosures, and if I couldn't, going with the attorney to the appropriate courthouse to hold the trustee sale.
About ten days before the dreaded First Tuesday, the attorney would come pick me up in his big Lincoln, and we'd drive to the front door of every one of the houses that would be sold to satisfy the home loan. Occasionally it was a mansion; more often than not, it was the small home of a family who was down on its luck.
The attorney would compassionately ask the homeowner why he hadn't paid, and then would quietly listen to the story. Then he'd say, "If we can get you through this month, will you be able to catch up and begin paying next month?"
More often than not, the homeowner would sincerely say he thought he could.
The attorney would say, "What have you got of value that I can take back to the lender to show that you're sincere in your promise?" Often it wasn't much. Maybe a watch or ring. Sometimes it was a bunch of fresh collards from his garden.
The attorney would give him a receipt for the item, then the past due payments would be added to the back of the loan...in other words, that missed payments would be due at the loans maturity date.
If the homeowner made his next payment on time, the item he had given to the attorney to prove the owner's sincerity would be sent back to him. If he didn't, and his house were foreclosed, the item would also be sent back to him, unless, of course, it had been a bunch of collards.
Did it work? Of course it did. People want to honor those who have honored them. Appropriately, later the attorney was elected as a district judge.
BILL CHERRY, REALTORS
DALLAS - PARK CITIES
Now Entering Our 46th Year
214 503-8563
Wow - that's amazing - simpler but wiser world I guess!
What a nice story. Sometimes a little help is all some people need to move forward. If only loan modifications were this easy.
If only we could bring back the "human touch". Treating people with dignity and respect would go a long way to helping to get out of this mess we are in.
Great story Bill. Maybe mortgages should have a provision for missing a few payments for a hardship and adding to the back of the loan.