Mortgage modification is a process where the terms of a mortgage are modified outside the original terms of the contract agreed to by the lender and borrower.
Click HERE to request a FREE evaluation of your chances of getting a loan modification.
Background
Click HERE for a full background review of the Mortgage Loan Crisis and why Mortgage Loan Modification is the RIGHT choice for hundreds of thousands of Americans.
In the normal progression of a mortgage, payments of interest and principal are made until the mortgage is paid in full (or paid-off). Typically, until the mortgage is paid, the lender holds a lien on the property and if the borrower sells the property before the mortgage is paid-off, the unpaid balance of the mortgage is remitted to the lender to release the lien. Generally speaking, any change to the mortgage terms is a modification, but as the term is used it refers to a change in terms based upon either the specific inability of the borrower to remain current on payments as stated in the mortgage, or more generally government mandate to lenders.
Mortgages are modified to the benefit of the borrower in one or more of the following ways:
- Reduction in interest rate, or a change from a floating to a fixed rate, or in how the floating rate is computed
- Reduction in principal
- Reduction in late fees or other penalties
- Lengthening of the loan term
- Capping the monthly payment to a percentage of household income
The borrower can be current, late, in default, in bankruptcy, or in foreclosure at the time the application for modification is made. The programs available will vary accordingly.
There may be modifications made at the discretion of the lender. The lender is motivated to offer better terms to the borrower because of the expectation that the borrower might be able to afford a lower payment, and that a performing loan (i.e. one in which payments are current) will be more valuable ultimately than the proceeds obtained from a foreclosure sale.
This is a great time to get your mortgage renegotiated for you. There is pressure from Washington on the banks to help homeowners. The Obama plan aims to help borrowers in financial trouble by making their payments more affordable. Modifications made under the program include a lower interest rate and often a longer repayment period. The results in numbers of people helped have been less than hoped for. Mortgage companies say they have struggled to get back the necessary paperwork, while homeowners and housing counselors say navigating the bureaucratic maze often seems impossible. This is why it is essential that you have an aggressive real estate attorney to handle the process for you and assure that you get the best possible solution to your problem.
SAVE MY HOME Strategy
We provide a free evaluation of your current situation from information that you provide us on a simple form. We will review your current mortgage loan obligation, income and monthly expenses to determine if you should qualify for a mortgage modification. Unfortunately, many people who qualify fail to get a modification.
Here is an excerpt from a recent Tampa Tribune article:
The government's program aims to keep more homeowners in their homes, but borrowers and housing counselors say the modification process is as cumbersome as ever. It can take months to get a response from the lender, they say, and lenders routinely misplace paperwork, don't return calls and don't explain rejections. "No one really knows why this happens at banks, whether it's a book keeping error or it's intentional to shake down borrowers," said Shari Olefson, a real estate lawyer with Fowler, White and Boggs, noting that she consistently hears that lenders lose paperwork.
If your circumstances make you a good candidate for loan modification, we will refer you to a licensed Real Estate attorney who will provide you with the best opportunity of securing a favorable new agreement with your bank. The Real Estate Law Firm will handle all negotiations with your bank and put an end to any harassment directed at you by the bank while assuring that your rights are fully protected. This may well be one of the most important business transactions of your life and it is crucial to have professional assistance.
The government's program aims to keep more homeowners in their homes, but borrowers and housing counselors say the modification process is as cumbersome as ever. It can take months to get a response from the lender, they say, and lenders routinely misplace paperwork, don't return calls and don't explain rejections. It is essential that you have an aggressive real estate attorney to handle the process for you and assure that you get the best and quickest possible solution to your problem.
If the numbers indicate that you should be able to save your home with a mortgage modification, we will help you get the right representation and counsel to get it done.
Contact us at SaveMyHome@PreviewNet.com
