A Loan Modification is a modification to the terms of an existing loan made by a lender in response to a borrower’s long-term inability to repay the loan. Loan modifications typically involve a reduction in the principal balance, interest rate or an extension of the terms. In some cases a different type of loan or any combination of the three. A lender might not be open to providing a loan modification to a borrower unless they are behind on their mortgage payments at least 4 months. By this time their credit is ruined and the lender or mortgage servicer can profit further by negotiating a forbearance agreement and collecting more fees.
A Loan Modification should be done by a Law Office and will stop foreclosure.
A Law office can use advanced legal techniques to achieve the most aggressive results for the client. An Attorney understands State and Federal laws as well as lending regulations. In some cases of RESPA or TILA violations an Attorney can threaten a recession of the loan or litigation, causing the lender to return ALL fees and interest paid through the loan. A Loan Modification company simply submits a package similar to a loan submission to have the lender review and decision. This DOES NOT achieve the best result for the borrower. In matter of fact it could make matters worse due to the fact one has exposed themselves to the lender without properly evaluating the entire situation. If the lender or broker has misrepresented the terms or worse yet committed bank fraud a Law Office can and should use the necessary means to bring the lender or broker to their knees to modify the loan and forgive some of the principal. In most cases a Real Estate Law Office can stop foreclosure without bankruptcy simply by calling the lender or mortgage loan servicing company and getting a 30 day extension for a loan modification.
Why should you use a Real Estate Attorney and not an Attorney based or Attorney backed Loan Modification Company?
A Law Office that specializes in real estate law can negotiate a loan modification agreement to stop foreclosure and get their client affordable mortgage payments. A loan modification with an attorney is different from forbearance and in most cases a forbearance agreement will require a borrower to bring in 100% of the arrearages. This is usually impossible for home owners already struggling with finances. A forbearance agreement provides short-term relief for borrowers who have temporary financial problems, while a loan modification agreement is a long-term solution for borrowers that normally will reduce the interest rate, change the terms of the mortgage and may reduce principal balance a combination of all three.
Example of a loan modification for an “option ARM” successfully completed from the Feldman Law Center in California.
We have completed the modification on this borrower the following are the terms of the loan modification:
New UPB $842,442.17
Term 40/30
P&I $3,192.29
Escrow $771.05
PITI $3,963.34
Due date 11/01/2008 (1st modified payment due in 2 months)
Maturity date 04/01/2036
Interest Rate 3.149% for the 1st two years, 4.149% for the 3rd year, and 5.149% on the 4th year and for the remainder term of the loan
Contribution $310.00
This client had a 7.50% interest rate and the loan recast to a $6,700.00 monthly payment. As you can see this is a drastic interest rate reduction with no negative amortization.
You may contact the FELDMAN LAW CENTER and request to see the clients actual document or listen to the recorded testimonial!
Loan modification is a term very unfamiliar to homeowners but not for very long. What most people are coming to realize is that losing their home to foreclosure is becoming a real possibility. Home foreclosure in America today is at an all time high and is affecting many homeowners that never believed they could lose their home to foreclosure. Homeowners are feeling the crunch of higher interest rates, fuel costs, and a slowing economy. A loan modification may be the only way for a homeowner to save their home. Negotiating with the bank for a modification of your home loan can be an overwhelming process for many homeowners. Major lenders such as Countrywide bank, Indy Mac bank, Wells Fargo, Bank of America, WAMU, New Century, Quicken Loans, Aurora, Aegis, EMC Mortgage, CITI Mortgage, Chase Bank, are overwhelmed with defaults and foreclosures. That is why retaining the services of an experienced law firm or real estate attorney rather than a loan modification company is of extreme importance. I have been around the mortgage industry for years and now find myself in the mix of the mortgage mess with an Option ARM loan that is due to explode in September.
The Mortgage Meltdown has hurt our entire economy as many families are facing foreclosure due to toxic mortgages and declining property values. California, Florida, Nevada, Arizona homeowners are the main sufferers as well as many of the Midwestern and east coast states. New mortgage laws to protect home owners are now in affect. If you want to find mortgage law information got to www.feldmanlawcenter.com or for foreclosure laws in your state you can simply Google your city and state foreclosure laws or find them on the Feldman Law Center web site. There is a wealth of information about loan modifications and other real estate services. In some cases the home owner may chose not o keep their home. In these instances an attorney can offer a deed in lieu of foreclosure and get a settlement offer from the lender. The truth is these people can hire an Attorney to represent them with their lender and save their home and their hard earned credit. Lenders are facing record losses and may not be willing to help home owners unless they are forced to listen. A letter of representation from a licensed real estate attorney seems to get their attention fast. You can find Mr. Steven Feldman at http://feldmanlawcenter.com/home.html
Wednesday, February 18, 2009
Feldman Law Center - What are the warning signs of foreclosure?
Unexpected life changes are often a contributing factor to foreclosure
What makes it so difficult to think about foreclosure during times of crisis is that you are so focused on the problem at hand and not likely to have the time or energy to think about how it could impact other aspects of your life. Life changes such as divorce or separation, loss of a loved one, death of a spouse, major illness or injury, job loss or reduction of income are some of the main reasons homeowners lose sight of the importance of dealing with foreclose issues. That is why a plan should be developed prior to any life problems that may arise unexpectedly for your own protection and preserving the American dream “home ownership.
If you have a "Plan" in place, you won't have to organize your thoughts and finances while finding a new job, dealing with a major illness or loss of a spouse. The plan will already be in place and your focus can be on getting your life back together and not dealing with all the issues at hand.
Financial warning signs
There may not be a major life change to signal potential trouble – you simply may be having a difficult time properly managing your finances. Don't be fooled into thinking your credit card problems won't affect your mortgage obligation as there are many home owners facing trying times these days and there is a direct link. It is important to realize that financial difficulties in one area can, and often do, spill over to other areas. These difficulties are all warning signs of financial problems that can lead to foreclosure on your home if you do not act quickly you may lose your home to foreclosure as many Americans are these days.
1) Maxing out credit cards Credit to pay for day-to-day expenses
2) Being unable to pay household bills on time
3) Paying only the minimum amount on credit cards all the time
4) Applying for new credit cards after maxing out on existing ones
5) Having to choose which bills to pay month after month
You may be able to get your finances back on track before foreclosure becomes a reality.
Identifying a legitimate credit counselor or Loan Modification negotiator
Do your research; a disreputable counselor or loss mitigation company can do more harm than good.
Contact the Feldman Law Center at (877-75-FIX IT) to get sound advice before you fall victim to foreclosure or Call 888-995-HOPE to get help. If you are researching agencies on your own you can find a credit counseling agency in your local phone book or by contacting the U.S. Department of Housing and Urban Development (HUD) at (800) 569-4287 on weekdays between 9:00 a.m. and 5:00 p.m. Eastern time. You can find a list of HUD-approved agencies on their Web site.
What makes it so difficult to think about foreclosure during times of crisis is that you are so focused on the problem at hand and not likely to have the time or energy to think about how it could impact other aspects of your life. Life changes such as divorce or separation, loss of a loved one, death of a spouse, major illness or injury, job loss or reduction of income are some of the main reasons homeowners lose sight of the importance of dealing with foreclose issues. That is why a plan should be developed prior to any life problems that may arise unexpectedly for your own protection and preserving the American dream “home ownership.
If you have a "Plan" in place, you won't have to organize your thoughts and finances while finding a new job, dealing with a major illness or loss of a spouse. The plan will already be in place and your focus can be on getting your life back together and not dealing with all the issues at hand.
Financial warning signs
There may not be a major life change to signal potential trouble – you simply may be having a difficult time properly managing your finances. Don't be fooled into thinking your credit card problems won't affect your mortgage obligation as there are many home owners facing trying times these days and there is a direct link. It is important to realize that financial difficulties in one area can, and often do, spill over to other areas. These difficulties are all warning signs of financial problems that can lead to foreclosure on your home if you do not act quickly you may lose your home to foreclosure as many Americans are these days.
They include:
1) Maxing out credit cards Credit to pay for day-to-day expenses
2) Being unable to pay household bills on time
3) Paying only the minimum amount on credit cards all the time
4) Applying for new credit cards after maxing out on existing ones
5) Having to choose which bills to pay month after month
You may be able to get your finances back on track before foreclosure becomes a reality.
Identifying a legitimate credit counselor or Loan Modification negotiator
Do your research; a disreputable counselor or loss mitigation company can do more harm than good.
Contact the Feldman Law Center at (877-75-FIX IT) to get sound advice before you fall victim to foreclosure or Call 888-995-HOPE to get help. If you are researching agencies on your own you can find a credit counseling agency in your local phone book or by contacting the U.S. Department of Housing and Urban Development (HUD) at (800) 569-4287 on weekdays between 9:00 a.m. and 5:00 p.m. Eastern time. You can find a list of HUD-approved agencies on their Web site.
Feldman Law Center - Loan Modifications – Important things you must be aware of
Let’s face it; times are tough for everyone these days. On the top of the list are homeowners struggling with their mortgage payments as well as other financial hardships. Most of the news heard lately about “mortgage relief” and “bailouts” does not appear to be helping homeowners facing default or foreclosure as we may have anticipated. The truth is, mortgage lenders don’t do loan modifications unless they are forced to, one way or another. To make matters worse loan modification companies offering stop foreclosure or loan modification services may be placing borrowers in worse situations by re-submitting all their financial information to the lender for a loan modification. In most cases these loan modifications are denied and now the lender has updated information that may even implicate the troubled homeowner in mortgage fraud. Many borrowers who bought or refinanced a home in the last three years used a Mortgage Broker who sold them an ARM or worse yet Option ARM loan while inflated home values and stated income allowed them to borrow more than the home was worth. Real estate agents, mortgage brokers, appraisers, loan officers, underwriters as well as bank executives made a killing in this market, and now we’re really feeling the effect. Most homeowners can’t refinance these days due to drastic property value declines, bank failures as well as financial hardships most are facing due to the “credit crunch” and our troubled economy.
So with all the lenders “smoke and mirrors” and bad news surrounding us what’s a troubled homeowner to do?
A loan modification seems to be the best option, as well as your only hope if you want to keep your home. Currently, one out of six homeowners nationwide is in default or foreclosure. Loan modification companies are coming out of nowhere boasting they are going to use TILA and RESPA violations to go after mortgage loan servicers and force them to modify your loan and reduce your principal balance. This just isn’t true. In matter of fact and loan modification company that is not a Law Office has absolutely NO leverage against your lender. Honestly, do you think a Loan Modification Company that offers you NO legal representation or a Loan Modification Attorney that offers a Loan Modification service is going to sue your lender? In addition, some attorneys out there would like you to believe a law suit is going to save your home. It may, but trust me; it’s going to cost a fortune. In some cases when a attorney can prove “predatory lending” or significant TILA or RESPA violations a simple phone call can get the job done. Borrowers need to be very careful these days in their approach with the lender. A lender does not have to modify your loan just because the property value dropped, that is not considered a hardship to them and they certainly don’t have to reduce the principal balance but they will in some cases. The Feldman Law Center is a Law Office that specializes in representing troubled homeowners imminent danger of losing their home, whether they are behind in their mortgage payments or not . Saving homes and offering sound legal advice is what we do, and we’re the best in the business. Troubled borrowers need proper representation with their lender, limiting our client’s exposure as well as fighting for the best possible loan modification is what we do best.
We are not here to milk our client’s for hefty retainers and leave them for dead, in matter of fact our fees are modest considering what you get with the Feldman Law Center. Our sophisticated approach drives proven results that save our clients homes. We have modified mortgages for lenders employees as well as many high level executives. We deal directly with the banks executives and not the minimum wage loss mitigation employees you will find on your own or with a loan modification company.
WARNING: Attorney based and assisted loan modification companies are NOT law offices and only offer “smoke and mirrors” as a means to get you to trust them. The Attorney Generals office as well as the Department of Real Estate simply cannot keep up with the loan modification companies operating illegally & unethically.
Important things you must be aware of:
1) Do not give any up front fees to loan modification or stop foreclosure companies boasting “attorney based”, “attorney backed” or “attorney assisted”!
2) Do not pay for a forensic loan audit unless it is performed by a Law Office, an attorney is the only person that may use lending violations as leverage!
3) Do not use a loan modification company unless they have an up front fee agreement approved by the DRE and offer a 100% money back guarantee!
4) Do not trust just anyone with your difficult situation; contact a Law Office and hire an attorney who specializes in Loan Modification and Loss Mitigation services!
There are many companies using the words “attorney”, “legal”, “lawyer” and so on. The bottom line is, these loan modification companies are wrongfully using this language unless they properly disclose they are NOT a Law Firm. Also, not to mention giving you advice that could cost you to lose your home and put your family on the street. Struggling homeowners need real help during these difficult times and not some ex- loan officer trying to get a fat commission or give them advice. The Feldman Law Center offers troubled borrowers real solutions and legal representation with creditors at a very reasonable flat fee. We do not believe in milking our clients with monthly billing for legal services and offering false hope. We offer straight talk, sound legal advice and the best possible results utilizing our expert negotiation skills and Federal Mortgage Laws. Call us today and see the difference for yourself. We will be more than happy answer any questions and share our knowledge as well as our proven results. We take great pride in our work and strive to be the #1 Law Firm in the country offering loan modification services.
Mr. Steven C. Feldman, ESQ. is available Monday – Friday during normal operating hours for in office appointments or a free consultation.
Call or Law Office at 800-527-8497 or apply on line at www.feldmanlawcenter.com
So with all the lenders “smoke and mirrors” and bad news surrounding us what’s a troubled homeowner to do?
A loan modification seems to be the best option, as well as your only hope if you want to keep your home. Currently, one out of six homeowners nationwide is in default or foreclosure. Loan modification companies are coming out of nowhere boasting they are going to use TILA and RESPA violations to go after mortgage loan servicers and force them to modify your loan and reduce your principal balance. This just isn’t true. In matter of fact and loan modification company that is not a Law Office has absolutely NO leverage against your lender. Honestly, do you think a Loan Modification Company that offers you NO legal representation or a Loan Modification Attorney that offers a Loan Modification service is going to sue your lender? In addition, some attorneys out there would like you to believe a law suit is going to save your home. It may, but trust me; it’s going to cost a fortune. In some cases when a attorney can prove “predatory lending” or significant TILA or RESPA violations a simple phone call can get the job done. Borrowers need to be very careful these days in their approach with the lender. A lender does not have to modify your loan just because the property value dropped, that is not considered a hardship to them and they certainly don’t have to reduce the principal balance but they will in some cases. The Feldman Law Center is a Law Office that specializes in representing troubled homeowners imminent danger of losing their home, whether they are behind in their mortgage payments or not . Saving homes and offering sound legal advice is what we do, and we’re the best in the business. Troubled borrowers need proper representation with their lender, limiting our client’s exposure as well as fighting for the best possible loan modification is what we do best.
We are not here to milk our client’s for hefty retainers and leave them for dead, in matter of fact our fees are modest considering what you get with the Feldman Law Center. Our sophisticated approach drives proven results that save our clients homes. We have modified mortgages for lenders employees as well as many high level executives. We deal directly with the banks executives and not the minimum wage loss mitigation employees you will find on your own or with a loan modification company.
WARNING: Attorney based and assisted loan modification companies are NOT law offices and only offer “smoke and mirrors” as a means to get you to trust them. The Attorney Generals office as well as the Department of Real Estate simply cannot keep up with the loan modification companies operating illegally & unethically.
Important things you must be aware of:
1) Do not give any up front fees to loan modification or stop foreclosure companies boasting “attorney based”, “attorney backed” or “attorney assisted”!
2) Do not pay for a forensic loan audit unless it is performed by a Law Office, an attorney is the only person that may use lending violations as leverage!
3) Do not use a loan modification company unless they have an up front fee agreement approved by the DRE and offer a 100% money back guarantee!
4) Do not trust just anyone with your difficult situation; contact a Law Office and hire an attorney who specializes in Loan Modification and Loss Mitigation services!
There are many companies using the words “attorney”, “legal”, “lawyer” and so on. The bottom line is, these loan modification companies are wrongfully using this language unless they properly disclose they are NOT a Law Firm. Also, not to mention giving you advice that could cost you to lose your home and put your family on the street. Struggling homeowners need real help during these difficult times and not some ex- loan officer trying to get a fat commission or give them advice. The Feldman Law Center offers troubled borrowers real solutions and legal representation with creditors at a very reasonable flat fee. We do not believe in milking our clients with monthly billing for legal services and offering false hope. We offer straight talk, sound legal advice and the best possible results utilizing our expert negotiation skills and Federal Mortgage Laws. Call us today and see the difference for yourself. We will be more than happy answer any questions and share our knowledge as well as our proven results. We take great pride in our work and strive to be the #1 Law Firm in the country offering loan modification services.
Mr. Steven C. Feldman, ESQ. is available Monday – Friday during normal operating hours for in office appointments or a free consultation.
Call or Law Office at 800-527-8497 or apply on line at www.feldmanlawcenter.com
Feldman Law Center - Loan Modification Companies - What you need to know!
Loan modification companies without any experience other than the ability to market to distressed homeowners are coming out of the wood work in masses. Taking illegal upfront fees and offering money back guarantees that don’t exist. Times are tough for ex- mortgage companies as well and they will say or do almost anything to get your money. They seek out troubled homeowners at the same time they are trying to find someone to process the loan mod file cheap. They offer money back guarantees (minus $1,000 or so for processing) and typically offer the client no more than a sad story after 90 days and the loss of your home to foreclosure. Calling themselves Loan Modification Experts or Specialists, they are like Cockroaches chasing down their next meal and they are hard to keep up with and even more hard to get rid of. The Attorney General office in most states is aware of the problem but is understaffed and has a difficulties being proactive in their efforts to stop these scam artists. Don’t get me wrong, not all of them are thieves. Some mean well, they just need to make money and can’t collect unemployment benefits. We get calls all the time from mortgage companies that are or are going to start doing loan modifications and want someone to process their files for cheap. They want to make representations to homeowners of low interest rates, principal reductions, and unreasonable settlements based of findings in forensic loan audits and then pass the buck to a loan mod processing company that will take your information, say a prayer and mail it off to the bank. Sad, but true. They have absolutely no clue what they are doing all they know is they can’t do loans anymore and loan mod clients are sitting ducks. These guys come up with cute names, websites, radio commercials, mailers etc….. Even cold calling off title data as a government sponsored foreclosure relief agency!
Should you decide a loan modification is a viable option for you then hire an Attorney that can offer legal representation and has the required experience to negotiate with your lender. Do not fall victim to an “attorney backed” or a “attorney based” loan modification company. This is very important as they only offer smoke and mirrors. The attorney is not your attorney and only gets a very small fee so the company can say they have an attorney. If you see a company that mentions Law, Legal, Attorney or anything of this nature in their name this is highly illegal unless they are a Law Office with real Attorneys that actually represent you. You should never pay more than $5,000 to get your loan modified or stop a foreclosure sale. Attorneys are not supposed to be cheap, they are supposed to protect and defend you, and a good Attorney in this situation is priceless. The Feldman Law center in Mission Viejo, California has a proven track record helping homeowners save their homes from foreclosure. They offer in house forensic loan audits to support predatory lending and mortgage fraud cases when required as well. In cases of hardships they have the ability to drastically reduce interest rates, principal balances and completely change the terms of a mortgage. There is a team of 50 full time Attorneys, paralegals, negotiators and legal assistants that work directly under Mr. Feldman, Esq. saving homes with real loan modifications. When you retain their services you are kept up to date on a weekly basis. There are other Attorneys around the country as well, but know one with the type of operation Mr. Feldman has. His Law Firm is filled with consumer advocates that share Mr. Feldman’s vision of providing struggling homeowner’s real solutions and giving them their moneys worth or giving it back. You can find Mr. Feldman at www.feldmanlawcenter.com or in the office Monday – Friday 7:00 AM to 7:00 PM PST.
Should you decide a loan modification is a viable option for you then hire an Attorney that can offer legal representation and has the required experience to negotiate with your lender. Do not fall victim to an “attorney backed” or a “attorney based” loan modification company. This is very important as they only offer smoke and mirrors. The attorney is not your attorney and only gets a very small fee so the company can say they have an attorney. If you see a company that mentions Law, Legal, Attorney or anything of this nature in their name this is highly illegal unless they are a Law Office with real Attorneys that actually represent you. You should never pay more than $5,000 to get your loan modified or stop a foreclosure sale. Attorneys are not supposed to be cheap, they are supposed to protect and defend you, and a good Attorney in this situation is priceless. The Feldman Law center in Mission Viejo, California has a proven track record helping homeowners save their homes from foreclosure. They offer in house forensic loan audits to support predatory lending and mortgage fraud cases when required as well. In cases of hardships they have the ability to drastically reduce interest rates, principal balances and completely change the terms of a mortgage. There is a team of 50 full time Attorneys, paralegals, negotiators and legal assistants that work directly under Mr. Feldman, Esq. saving homes with real loan modifications. When you retain their services you are kept up to date on a weekly basis. There are other Attorneys around the country as well, but know one with the type of operation Mr. Feldman has. His Law Firm is filled with consumer advocates that share Mr. Feldman’s vision of providing struggling homeowner’s real solutions and giving them their moneys worth or giving it back. You can find Mr. Feldman at www.feldmanlawcenter.com or in the office Monday – Friday 7:00 AM to 7:00 PM PST.
Feldman Law Center - Avoid Foreclosure
Real estate markets are slowing. Interest rates are trickling down and the phones are ringing off the hook at Feldman Law Center. Home owners are in a panic and fear not selling their home and the inability to refinance adjustable rate mortgages will cause default or foreclosure. Their only hope may be to modify their existing mortgage with a Mortgage Loan Modification. Unfortunately, mortgage servicing companies and lenders are overwhelmed with foreclosures and loss of consumer confidence.
The number of people asking for appointments to talk about Loan Modification Advice, Loan Modification Programs and potential legal recourse with their lender or mortgage broker is increasing daily. Most home owners with adjustable-rate loans are in fear of losing their home not to mention their hard earned credit.
Nearly a quarter of the nation's mortgages have rates scheduled to reset this year or next, which means higher payments for millions of homeowners. How many will default isn't known, but the Mortgage Bankers Association, which tracks delinquencies and foreclosures, expects an increase through the end of this year.
If you're in danger of falling behind on your mortgage, or if you're already delinquent, it's important to know what's ahead and what your options are. Usually, the faster you move, the more options you will have. We have saved many borrowers homes that were previously turned down for loan modification help because they were not in foreclosure.
The timeline
30 days: Your troubles actually start as soon as you miss a single payment. Lenders may not contact you until you've skipped a second payment, but most will report the first late payment and every subsequent delinquency to the credit bureaus. Even a single late payment can devastate your credit score, the three-digit number that lenders use to help gauge your creditworthiness. Each subsequent "late" further decreases your score, making it more difficult and expensive to get a loan or a refinance that might help your situation. In addition, lenders typically tack on late fees of 5% or so for each missed payment. These fees can be forgiven with a Loan Modification agreement.
90 days to one year: Eventually, if the payments aren't made, the lender will file a "notice of default" with a local courthouse and send you a letter saying that the foreclosure process will start unless you make good the missing payments. Unfortunately for most the reinstatement of the loan is found to be unaffordable thus complicating and deteriorating the communication between the home owner and mortgagor.
The Solution
A Loan Modification to the existing mortgage allowing the borrower to get back on track is the most sensible solution. Loan Modifications should not be confused with forbearance agreements offered by your lender. A forbearance agreement is typically a short term solution allowing the borrower to reinstate the loan and repay the rearranges. A Loan Modification is a permanent change to the interest rate and terms of the mortgage offering the borrower a loan term solution. Currently we are seeing Loan Modifications negotiated below current market interest rates. When applying for a Loan Modification with your lender it’s a good idea to hire a loan modification attorney to get the best results.
Lenders Loan Modification Agreement will always advise you to consult a attorney prior to signing as the loan terms may be permanently changed.
Warning Loan Modification Scam
Loan Modification Companies are soliciting troubled home owners making guarantees and boasting high success rates. These Loan Modification or Loss Mitigation companies are doing nothing more than getting an unaffordable short term forbearance agreements. They cannot help you and should not take your money if you are in foreclosure. They cannot help you if you are not behind in mortgage payments. If you are in fear of falling behind on your mortgage payment or facing foreclosure, Loan modification help with a licensed attorney is your best option. A Law Office that specializes in lender negotiations will certainly get the best results. A licensed attorney can use any leverage available to negotiate with your lender and get a Loan Modification that will save your home. The Feldman Law Center has earned the reputation as a reliable Law Office that gets the job done. Some Loan Modification and Stop Foreclosure Companies are running scams on home owners facing foreclosure. Please contact your states regulatory agency for details on the Loan Modification process with a Loan Modification Company.
The Feldman Law Center is owned and operated by Steven C. Feldman, attorney at law. Mr. Feldman has been a member of the California State Bar since 1983 and is well versed in federal loan modification law. To find out more information about the loan modification process visit http://www.feldmanlawcenter.com/
The number of people asking for appointments to talk about Loan Modification Advice, Loan Modification Programs and potential legal recourse with their lender or mortgage broker is increasing daily. Most home owners with adjustable-rate loans are in fear of losing their home not to mention their hard earned credit.
Nearly a quarter of the nation's mortgages have rates scheduled to reset this year or next, which means higher payments for millions of homeowners. How many will default isn't known, but the Mortgage Bankers Association, which tracks delinquencies and foreclosures, expects an increase through the end of this year.
If you're in danger of falling behind on your mortgage, or if you're already delinquent, it's important to know what's ahead and what your options are. Usually, the faster you move, the more options you will have. We have saved many borrowers homes that were previously turned down for loan modification help because they were not in foreclosure.
The timeline
30 days: Your troubles actually start as soon as you miss a single payment. Lenders may not contact you until you've skipped a second payment, but most will report the first late payment and every subsequent delinquency to the credit bureaus. Even a single late payment can devastate your credit score, the three-digit number that lenders use to help gauge your creditworthiness. Each subsequent "late" further decreases your score, making it more difficult and expensive to get a loan or a refinance that might help your situation. In addition, lenders typically tack on late fees of 5% or so for each missed payment. These fees can be forgiven with a Loan Modification agreement.
90 days to one year: Eventually, if the payments aren't made, the lender will file a "notice of default" with a local courthouse and send you a letter saying that the foreclosure process will start unless you make good the missing payments. Unfortunately for most the reinstatement of the loan is found to be unaffordable thus complicating and deteriorating the communication between the home owner and mortgagor.
The Solution
A Loan Modification to the existing mortgage allowing the borrower to get back on track is the most sensible solution. Loan Modifications should not be confused with forbearance agreements offered by your lender. A forbearance agreement is typically a short term solution allowing the borrower to reinstate the loan and repay the rearranges. A Loan Modification is a permanent change to the interest rate and terms of the mortgage offering the borrower a loan term solution. Currently we are seeing Loan Modifications negotiated below current market interest rates. When applying for a Loan Modification with your lender it’s a good idea to hire a loan modification attorney to get the best results.
Lenders Loan Modification Agreement will always advise you to consult a attorney prior to signing as the loan terms may be permanently changed.
Warning Loan Modification Scam
Loan Modification Companies are soliciting troubled home owners making guarantees and boasting high success rates. These Loan Modification or Loss Mitigation companies are doing nothing more than getting an unaffordable short term forbearance agreements. They cannot help you and should not take your money if you are in foreclosure. They cannot help you if you are not behind in mortgage payments. If you are in fear of falling behind on your mortgage payment or facing foreclosure, Loan modification help with a licensed attorney is your best option. A Law Office that specializes in lender negotiations will certainly get the best results. A licensed attorney can use any leverage available to negotiate with your lender and get a Loan Modification that will save your home. The Feldman Law Center has earned the reputation as a reliable Law Office that gets the job done. Some Loan Modification and Stop Foreclosure Companies are running scams on home owners facing foreclosure. Please contact your states regulatory agency for details on the Loan Modification process with a Loan Modification Company.
The Feldman Law Center is owned and operated by Steven C. Feldman, attorney at law. Mr. Feldman has been a member of the California State Bar since 1983 and is well versed in federal loan modification law. To find out more information about the loan modification process visit http://www.feldmanlawcenter.com/
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