Who Qualifies for an Attorney Based Loan Modification?

There is a very wide variety of homeowners qualify for loan modification. With so many questionable loans being sold over the past few years, homeowners have more causes than ever for foreclosing. First off, you have Adjustable Rate Mortgages (ARMs) where the fixed term is up and the rate increases. The payment now becomes too much to afford. Many of these borrowers used stated income documentation to qualify, meaning that they could not truly qualify for the loan under normal guidelines. Once the rate adjusted upward homeowners who barely squeaked by in the past now have no chance at making their mortgage payments.

Others candidates for attorney based loan modification are victims of decreasing home values and now have no or negative equity. Property values are dropping at a record pace in many areas, especially those who saw extreme appreciation over the past few years. Many homeowners just see no benefit in trying to pay a huge mortgage payment when they are upside down tens of thousands of dollars and property values are still decreasing. In many cases the same house down the street is renting for half of a homeowners current mortgage. These borrowers might be eligible for a note reduction to market value. If you get the right attorney who knows how to handle this situation, you can have your balance reduced substantially which also lowers the monthly payment. Why pay thousands and thousands of extra dollars just to save your credit?

Financial hardship is the textbook definition of a borrower who qualifies for a loan modification. This means that something happened in your life that caused you to lose money, lose the ability to earn money, get your wages cut or many other causes along those lines. Homeowners with a large savings account and plenty of income rarely qualify just because they are upside down on their mortgage.

If you are near or at foreclosure you have no option but to turn to a law office. Most people facing foreclosure or NOD think that if they cannot afford their mortgage, how can they afford an attorney? The answer is simple: our attorneys can stop your foreclosure process and freeze payments. That means that you will not have to make payments during this ‘investigation into the problem’ while your foreclosure does not progress (if the banks do not comply with this request an attorney can file a lawsuit and restraining order). Most people with no housing expense each month are going to have extra disposable cash to help them save their house. Besides, even if you can qualify for a refinance, the loan modification process is cheaper and more sensitive to the homeowner. As long as you do not want cash out, you should consider a loan mod before a traditional refinance.

No matter what predicament you are in your best bet is to get a FREE analysis of you situation preformed by the MOD Squad