“Their lender can only pause the foreclosure and those payments for so long, and usually that period of time is between 12 to 18 months, max,” Cakeforms CEO Allan Robinson (pictured) told Mortgage Professional America. “Once the forbearance nears expiration, something has to be done. Either the lender forecloses, or the homeowner is transitioned into a long-term, loss mitigation option.”
That is where his product comes in, priced at $19.95 a pop. Robinson noted the cost is a one-time expense given that users will likely only need it for one month’s time as they seek resources to help stave off foreclosure.
“My product is for people who need to be transitioned into a long-term loss mitigation option,” Robinson said. “We give you all the programs that are available through Fannie Mae, FHA or Freddie Mac, which is roughly about 57% of all the mortgages that are out there. Our software tells you for which programs you qualify, and how to qualify for previously denied programs.”
The Cakeforms Automated Underwriter is a single PDF file – with guidelines for mortgage assistance encoded in it – that homeowners can download from the Cakeforms website. Robinson noted these are the same guidelines that lenders and servicers must use. There are separate versions of the software for Fannie Mae, Freddie Mac and FHA mortgages.