What Is A Mortgage Loan Modification?

A loan modification is a restructured agreement between the borrower and mortgage lender with revised terms and interest rates. Mortgage loan modifications are long-term solutions for borrowers who are considering a foreclosure or bankruptcy. Banks typically agree to modify a mortgage note when they believe the borrower never has a chance repay the current loan with their existing circumstances. Loan modifications are primarily used as a tool to stop a looming foreclosure.

A large number of clients will find themselves using a Loan Modification Plan to stop foreclosure. If you can currently make your regular payment, but you can't catch up with the past-due amount, we will negotiate with your lender to fold any past-due amounts, including interest and escrow, into the unpaid principal balance. This new amount will be re-amortized over a new period of time.

Or, if you are unable to make payments at this rate, we will negotiate with your lender to extend your loan for a longer period of time, modifying the loan amount to a more affordable level.

In some cases if you are upside down on your mortgage the bank may reduce how much you owe on the the mortgage bringing your payments down and also your interest rate to a more affordable term. Most lenders are offering rates between 2% and 7.5% to get the mortgagee back on the right track of home ownership.

A Loan Modification will change your existing mortgage note and give you a fresh new start in managing your home. Your account will be brought up to date immediately.

What are the foreclosure alternatives for borrowers who are having trouble making their payments? What actions should a borrower take to pursue these alternatives?
There are several alternatives for a borrower that is having trouble making payments. If you are having difficulty making your mortgage payments, contact your lender immediately, to pursue options available. Some of the alternatives available include:

Pre-Foreclosure Sale: "Listing your Property for Sale." If you believe that you will continue to have difficulty making your mortgage and real estate tax payments, and that your hardship or reduced income is permanent, you may want to consider listing your property for sale. Housing values in your area may have declined which may result in an offer to purchase that is less than the total debt due on the property. In some instances, Your lender may accept less than the amount we are owed, but in order to be considered for this option, you must submit a package of financial information along with information about the proposed sale.

 

Fill out the form below and we will contact you. If you need immediate help please call us at 570.613.9090

Name Address City   State Zip Code E-mail Home Tel Mobile Work Tel Preferred Contact home phone mobile work phone email Best Time To Call Loan Status 3 Months Behind Current 1 Month Behind 2 Months Behind Pending Foreclosure In Foreclosure Lender