Loan Modification Help Center – Learn Your Options For Stopping Foreclosure Now
December 6th, 2009 by adminRegardless of where you are at financially, it is almost never too late to avoid losing your home to foreclosure. Qualified loan modification attorneys know that while it is easy to lose hope and fall into a place of inaction, you have many tools at your disposal.
Options
Contact your existing lender and see if you can get a forbearance, a payment plan or a deed in lieu of foreclosure. A forbearance is an agreement between the lender and the borrower that reinstates the delinquent loan through the payment of a lump sum or a schedule of payments over a period of time. A payment plan is similar to forbearance; in some cases, the lender may agree to a short term payment plan if you can prove you’ve had a hardship (loss of a job, medical bills, etc.). A deed in lieu of foreclosure is a voluntary transference of title to the lender. Most often, this is used as a last ditch effort by the homeowner to avoid the negative consequences of foreclosure.
The problem with all of these options is that they require a great deal of cash on hand, something you most likely do not have available. Foreclosures can be a challenging situation because most people facing foreclosure are not simply lazy people who forgot to pay a bill, they are hardworking people who are facing some sort of financial crisis. These might be options if you have $10,000 or $20,000 on hand, but odds are you do not. With a deed in lieu of foreclosure, the ultimate problem is you no longer own the home, and so now you’ve lost any equity in the house and you are not in control
Other options include refinancing, although that depends upon your credit history which could have taken a massive hit from your financial problems. If you do not have an outstanding credit history, or if your financial challenges are more than short term, a refinancing probably will not happen. A short sale is an option, although there is no guarantee that the lender will forgive whatever debt remains from the short sale. There is also always bankruptcy, but there are so many challenges before, during and after a bankruptcy that it can be a complete waste of time. A bankruptcy will stay on your credit history for up to a decade and provide nothing but headaches during that time. Even afterwards you can face financial challenges, career challenges and legal challenges stemming from the bankruptcy.
Quite possibly your best option when facing foreclosure is a California loan modification. A loan modification is a change of the terms of the original mortgage loan; the change could be to the interest rate, the length of the mortgage, the principal balance, the late fees or some other part of the original agreement. To get a loan modification, you can attempt to deal with the lender yourself or hire a California loan modification attorney to negotiate on your behalf. A loan modification attorney will often get a quicker response from a lender because he or she will have the law on their side. A lender will consider a loan modification when foreclosure is eminent and the borrower’s income has been decreased, but if the borrower will be able to keep paying the mortgage at a lower monthly rate.
Visit us at http://www.loanmodificationhelpcenter.org/ or call 800-359-6941.
Legal Disclaimer
The information contained herein is provided for general information and advertising purposes only and is not intended to convey a legal option nor legal advice for any particular case or situation. Nothing in this article shall create an attorney-client relationship. Nothing sent to this law office via e-mail shall constitute an attorney-client relationship. Nothing contained in this article shall be construed to be a guarantee or prediction of result. Prior results are provided for general information purposes only and do not guaranty, warranty or predict a similar outcome with respect to any future matter. Results achieved depend on individual circumstances and not everyone will qualify or be successful in restructuring their mortgage loan.
Stopping Foreclosure at The Right Moment
November 6th, 2009 by adminWhen facing foreclosure, it may seem hopeless for your financial situation to be salvaged. While the prospect of losing your home is certainly discouraging, it’s extremely important not to give up on getting your finances in order. Having a home foreclosure on your credit history is extremely damaging, and often will prevent you from getting any future financing. Stopping a foreclosure at the right moment can help save your home, and prevent you from possibly serious financial consequenses.
In order to stop a foreclosure in time, there are several important steps that you may take. The first step is to open the communication lines between you and your mortgage company. Most mortgage companies will be open to negotiations to help you make your monthly mortgage payments, since they are also partially responsible for your debt. A foreclosure is expensive to a lending institution as well, as they will also lose money when you lose your home. Speaking to your mortgage company is very important when trying to stop a foreclosure at the right moment.
In some cases, you may qualify for government aid in helping prevent foreclosure on your house. With the recent increase in home foreclosures, many large banking coorporations are now offering federally funded financial aid. These programs are extremely generous, though may require you to meet certain guidelines when applying. This is to prevent the programs from being exploited, so it is important to research the specific aid program of your bank to see if you may qualify.
As long as you are able to prevent a foreclosure before the deadline set by the mortgage company, you will be able to keep your home. If you are not able to make your mortgage payment, it is strongly advised that you research methods to refinance, restructure, defer or negotiate your mortgage. In addition to your mortgage company, there are many commercial or non-profit organizations that offer specific aid to help people struggling with making their mortgage payments. However, some of these companies may have hidden fees or charges associated with their services, so it is recommended that you research the company that you wish to use. If you thoroughly research all of your available options, you will have a much better chance of stopping a foreclosure at the right moment, before it becomes a permanent part of your financial history.
