Nonprofit Alliance of Consumer Advocates and Consumer Defense Law Group Secure Investor-Owned Loan Modification at 2%
ANAHEIM, CA, UNITED STATES, February 12, 2026 /EINPresswire.com/ -- The Nonprofit Alliance of Consumer Advocates (N.A.C.A.), a federally recognized nonprofit loss mitigation clinic focused on Homeownership Preservation and Affordable Housing, announced another successful foreclosure prevention outcome—highlighting a growing truth in today’s mortgage crisis: when a distressed homeowner’s loan is investor-owned, traditional loan modification efforts are often limited unless litigation is strategically deployed.
While N.A.C.A. has achieved exceptionally high success rates negotiating sustainable loan workouts on servicer-owned loans, investor-owned mortgage loans present a different and often more rigid challenge. In many investor-owned cases, the loan servicer has limited authority and cannot approve exceptions or meaningful restructuring, even when the borrower has the ability to perform under a modified payment.
That was the situation facing Basel Hassouneh, homeowner at 1903 W Willow Ave, Anaheim, CA 92804, whose mortgage loan had become severely delinquent despite repeated efforts to resolve the matter. Hassouneh originally purchased the property on January 18, 2006 for $600,000.00, financing the full purchase price. Like many homeowners impacted by the 2008 market collapse, he experienced his first major default on April 15, 2009, followed by additional hardship and recurring defaults, including another default in 2019. His final Notice of Default was recorded on August 24, 2023, placing him on a direct path toward foreclosure.
After repeated failed attempts to remedy his delinquency directly with the loan servicer, Hassouneh was referred to Nonprofit Alliance of Consumer Advocates (N.A.C.A.) in June 2025, seeking a final opportunity to save his home. At the time of referral, Hassouneh was delinquent a total of $252,876.00, with a monthly payment of $3,055.29—a structure that had become increasingly unsustainable.
N.A.C.A. initiated its standard loss mitigation process, submitting workout requests and communicating directly with the loan servicer. However, as is common with investor-owned loans, the servicer denied relief—despite the homeowner’s willingness to comply with a sustainable repayment structure. With foreclosure trustee sale date approaching, N.A.C.A. identified the need for a more aggressive legal strategy.
N.A.C.A. recommended immediate engagement with Consumer Defense Law Group (CDLG), widely regarded as the nation’s leading wrongful foreclosure litigation firm, known for pursuing foreclosure defense cases against both servicers and investor loan owners. Unlike many firms that only negotiate with servicers, CDLG routinely files suit naming the true decision-maker—the investor—as a co-defendant, applying legal pressure where servicer negotiations alone fall short.
CDLG filed Civil Case #CU-OR-CJC against both the loan servicer and the investor-owner of the loan. In July 2025, CDLG secured a settlement offer in exchange for dismissal of the lawsuit, resulting in the long-awaited permanent loan modification Hassouneh had been denied for years.
Hassouneh’s permanent modification included a starting interest rate of 2% for three years, beginning December 1, 2025, increasing to 3% on November 1, 2028, then 4% in year five, and 5% the following year. Most importantly, his new principal and interest payment will begin at $1,509.28, a dramatic reduction from the prior $3,055.29 payment that contributed to the default.
“Investor-owned loans are where homeowners get trapped, because the servicer often hides behind the investor guidelines while foreclosure continues in the background,” said Attorney Tony Cara, founder of Consumer Defense Law Group. “That is exactly why we sue the true decision-maker. When the investor is named as a co-defendant and forced into litigation exposure, suddenly the ‘no’ becomes negotiable. This is not just foreclosure defense—this is forcing accountability, and in this case, it restored a homeowner’s future.”
Because of his relationship with N.A.C.A., Hassouneh will also enter the nonprofit’s Borrower Restoration Program, positioning him to refinance into a long-term fixed rate—potentially 0.50% to 1.00% below market rate—before his modified rate escalates beyond competitive market pricing.
“This is why our nonprofit exists,” said N.A.C.A. leadership. “We don’t just submit paperwork and hope for mercy from a servicer. We build a full strategy around the homeowner—loss mitigation, legal escalation, and long-term restoration. When a family’s loan is investor-owned, pairing an experienced nonprofit clinic with elite litigation counsel can mean the difference between eviction and keeping the keys.”
For more information, visit www.TrusteeSaleReversals.org or call (855) NACA-HELP.
While N.A.C.A. has achieved exceptionally high success rates negotiating sustainable loan workouts on servicer-owned loans, investor-owned mortgage loans present a different and often more rigid challenge. In many investor-owned cases, the loan servicer has limited authority and cannot approve exceptions or meaningful restructuring, even when the borrower has the ability to perform under a modified payment.
That was the situation facing Basel Hassouneh, homeowner at 1903 W Willow Ave, Anaheim, CA 92804, whose mortgage loan had become severely delinquent despite repeated efforts to resolve the matter. Hassouneh originally purchased the property on January 18, 2006 for $600,000.00, financing the full purchase price. Like many homeowners impacted by the 2008 market collapse, he experienced his first major default on April 15, 2009, followed by additional hardship and recurring defaults, including another default in 2019. His final Notice of Default was recorded on August 24, 2023, placing him on a direct path toward foreclosure.
After repeated failed attempts to remedy his delinquency directly with the loan servicer, Hassouneh was referred to Nonprofit Alliance of Consumer Advocates (N.A.C.A.) in June 2025, seeking a final opportunity to save his home. At the time of referral, Hassouneh was delinquent a total of $252,876.00, with a monthly payment of $3,055.29—a structure that had become increasingly unsustainable.
N.A.C.A. initiated its standard loss mitigation process, submitting workout requests and communicating directly with the loan servicer. However, as is common with investor-owned loans, the servicer denied relief—despite the homeowner’s willingness to comply with a sustainable repayment structure. With foreclosure trustee sale date approaching, N.A.C.A. identified the need for a more aggressive legal strategy.
N.A.C.A. recommended immediate engagement with Consumer Defense Law Group (CDLG), widely regarded as the nation’s leading wrongful foreclosure litigation firm, known for pursuing foreclosure defense cases against both servicers and investor loan owners. Unlike many firms that only negotiate with servicers, CDLG routinely files suit naming the true decision-maker—the investor—as a co-defendant, applying legal pressure where servicer negotiations alone fall short.
CDLG filed Civil Case #CU-OR-CJC against both the loan servicer and the investor-owner of the loan. In July 2025, CDLG secured a settlement offer in exchange for dismissal of the lawsuit, resulting in the long-awaited permanent loan modification Hassouneh had been denied for years.
Hassouneh’s permanent modification included a starting interest rate of 2% for three years, beginning December 1, 2025, increasing to 3% on November 1, 2028, then 4% in year five, and 5% the following year. Most importantly, his new principal and interest payment will begin at $1,509.28, a dramatic reduction from the prior $3,055.29 payment that contributed to the default.
“Investor-owned loans are where homeowners get trapped, because the servicer often hides behind the investor guidelines while foreclosure continues in the background,” said Attorney Tony Cara, founder of Consumer Defense Law Group. “That is exactly why we sue the true decision-maker. When the investor is named as a co-defendant and forced into litigation exposure, suddenly the ‘no’ becomes negotiable. This is not just foreclosure defense—this is forcing accountability, and in this case, it restored a homeowner’s future.”
Because of his relationship with N.A.C.A., Hassouneh will also enter the nonprofit’s Borrower Restoration Program, positioning him to refinance into a long-term fixed rate—potentially 0.50% to 1.00% below market rate—before his modified rate escalates beyond competitive market pricing.
“This is why our nonprofit exists,” said N.A.C.A. leadership. “We don’t just submit paperwork and hope for mercy from a servicer. We build a full strategy around the homeowner—loss mitigation, legal escalation, and long-term restoration. When a family’s loan is investor-owned, pairing an experienced nonprofit clinic with elite litigation counsel can mean the difference between eviction and keeping the keys.”
For more information, visit www.TrusteeSaleReversals.org or call (855) NACA-HELP.
J. De La Vega
NonProfit Alliance of Consumer Advocates
+1 855-622-2435
email us here
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