Be proactive if you are facing high debt service and could end up with a foreclosure action in the coming months. If you wait to sell your home or your business at the 11th hour before a Trustee’s Sale, you may lose everything. If you find a buyer just before a foreclosure, you may be at the buyer’s mercy on the price. Don’t wait until it is too late. Be proactive with a loan modification now. How does a loan modification work?
A loan modification is not a new loan, it’s not a refinance. It is the same loan with adjustments to the terms of the loan so that you can reduce monthly payments. That is done with an adjustment to the interest rate or to the amortization schedule, or both.
Many people have told me they called their bank and tried to get a reduction in the monthly mortgage payment but it didn’t work. There’s a simple reason they could not get that done. The process of applying for a loan modification is very detailed, requires a ream of paper and information, and there must be a very persuasive argument as to why the modification should be allowed. You have to know who to contact, and most local bank tellers don’t even know who you would contact for their own institution. Loss mitigation departments or the modification division of any mortgage company is not found locally. They are not listed in the phone book. They are not listed on the Internet. These departments are not trying to hide from you, but they were not created to interface with the public, so they are below the radar.
In order to put together the right paperwork, you must know what they want, and to make persuasive arguments in writing, you must know what the issues are and how to address them. Then you must be able to write very good English and be very persuasive.
The truth is very few homeowners or business owners will have the knowledge and experience to get this done right. For those who try and screw it up, it could ruin their chances entirely even if they do hire a professional later.
I am not a loan modification guy. I do know one who is, and he is one in a thousand who knows how to do this. He is having great success with loan modifications. He tells me incredible stories of good people who are staying in their homes because he was able to help them get a substantially reduced monthly payment. What an incredible service he offers!
If you do need help getting your monthly payments adjusted with a loan modification, email Chuck Marunde. I’ll refer you to a man who can help you get the job done. By the way, he is qualified to do this in any state, so it does not matter where you live.
Don’t wait until it is too late. Be proactive and start working on your loan modification right now.
Last Updated on November 21, 2008 by Chuck Marunde
By all means, if there is a way to save you from having your home foreclosed upon, then you should do it. This country has a HUGE problem right now with people walking away from their homes. If absolutly cannot pay for your home, then almost everyone will understand. But don’t just walk away from it if there is a possibility that you can come up with the monthly payment. Go to your lending institution and see if they can lower your payment.