Wednesday, January 25, 2017
How A Mortgage Modification Can Help You Fix Your Finances
For the past several years homeowners have taken a huge hit in the value of their homes. This has left many borrowers living in homes valued at well under what is owed, and this makes it hard to turn finances around in a positive way. There are a lot of things you can do to take control of your monthly expenses, and finding the right one can take some trial and error. But the most helpful thing probably has to do with your house payment, so the focus of this article will be on ways to make your mortgage work for you.
One of the things to consider when you are having a hard time making your house payment is to have your mortgage loan modified. If you are able to get a modification, you can expect the following benefits to your entire financial picture:
• A lower house payment, because the modification will reduce your interest rate. And as we all know, the lower your rate, the lower your payment.
• With a lower house payment comes more money in your pocket every month. You can use the extra money to pay other bills, or to start a savings account.
• When you are able to pay your other bills because your house payment is lower, you can avoid going into default on those obligations, which will keep creditors at bay and prevent collection efforts from being taken against you.
• The extra money you save by having a lower house payment can also be used to start an emergency fund. You never know when an unexpected repair expense will come up, and having the funds on hand to cover the cost will allow you to pay for what is due without going into debt.
If this sounds good to you, it might be time to visit with us to see how we can help you get your mortgage loan modified. If you have tried to get a modification on your own and been denied, we can review your paperwork and contact your lender to see where the process did not work. Most lenders prefer to work with their borrowers than force them into bankruptcy, but it takes artful negotiation to reach an agreement that makes everyone happy.
For more information about how a mortgage loan modification can help with your budget, call us today or reach us online at
www.law-ri.com. We will help by looking at the facts of your case and giving you options to reach your financial goals.