Loan Modification

Find Information about a Loan Modification. Get Help with Your Home Loan Now.

Forms Mortgage Modification

Mortgage Loan Modification Programs - Learn What They Can Do For You


If you are finding it very difficult to make up with your mortgage payments and are foreseeing a future in which foreclosure might be a possibility, then mortgage loan modification programs might prove to be your solution.

Normal 0 MicrosoftInternetExplorer4 /* Style Definitions */ table.MsoNormalTable {mso-style-name:"Table Normal"; mso-tstyle-rowband-size:0; mso-tstyle-colband-size:0; mso-style-noshow:yes; mso-style-parent:""; mso-padding-alt:0in 5.4pt 0in 5.4pt; mso-para-margin:0in; mso-para-margin-bottom:.0001pt; mso-pagination:widow-orphan; font-size:10.0pt; font-family:"Times New Roman";}

There are different things that may be done during a mortgage loan modification program, of which the most common are:

* Reducing the rate of interest so that you are able to meet with the payments

* Converting adjustable rate mortgage into fixed rate mortgage so that there are no more nasty surprises for you

* Reducing some portion of the principal owed so that the loan may be paid off faster

* Increasing the tenure of the loan so that the current payments become smaller

* Waiving off some fees and penalty charges that make the loans more affordable.

In most cases, a combination of the above methods is employed. The intention is to enable you to make the payment and finish the loan. Foreclosure is something that benefits nobody - neither the lender nor you - because of the heavy costs involved. Hence, the lenders are more than willing to enter into a negotiation with you.

However, you need to become eligible for a loan modification program. There are various conditions for eligibility with different lenders and it becomes essential to read through their individual documents carefully and have personal appointments with them. Generally, they will expect the following:

* You should have some valid reason for the modification program. A valid reason is termed as a financial hardship. If there has been a death of an earning member in the family, if you have been laid off your job or have been demoted, if your house has faced a natural calamity, if the real estate prices have gone down damaging your equity or if you have been relocated, lenders will certainly consider your case.

* You must be at least three months due in your payment for most lenders to accept a mortgage loan modification program.

* You must still continue to live in the same property and it should remain your primary residence. If your house is beyond repair, your case becomes weak.

* You must be able to afford the revised terms of the mortgage.

If you find that you become eligible for a mortgage loan modification program on these grounds, you could approach your lender for the same. It is good if you could seek counsel from a real estate agent or, better still, a real estate attorney, who could make sure you get the best deal.

Source: Free Articles from ArticlesFactory.com

Next page: Dodd Frank Mortgage Modification


Bookmark/Share This Page:

ADD TO DEL.ICIO.US ADD TO DIGG ADD TO FURL ADD TO NEWSVINE ADD TO NETSCAPE ADD TO REDDIT ADD TO STUMBLEUPON ADD TO TECHNORATI FAVORITES ADD TO SQUIDOO ADD TO WINDOWS LIVE ADD TO YAHOO MYWEB ADD TO ASK ADD TO GOOGLE ADD TO MAGNOLIA ADD TO NING ADD TO RAWSUGAR ADD TO SPURL ADD TO TAGTOOGA

  Bookmark and Share

Recommended Products

Get The Debt Help You Need