Monday, July 31, 2017

Are Mortgage Modifications Still Available?

A lot of information about mortgage modifications is readily available online, from your lender, friends and family, and professional debt management specialists. With all of the sources available to you, it can be hard to know which pieces of information are accurate and what you need to do to take advantage of the mortgage modification possibilities. One of the most common types of modifications is the HAMP program, which was a government backed modification program. But with the changing of the guard at the White House, many of the programs once available to distressed homeowners are no longer available. In that regard you may have heard or read something about the expiration of HAMP and require more information about what type of modification plan is still available.

There are still mortgage modification plans available, and all you have to do is speak with your lender about what they can offer. Once you have made that initial phone call, be prepared to do the following:

         Fill out an application for modification.
         Provide proof of income and ability to repay the modified loan.
         Provide tax documents.
         Prove you have current homeowner’s insurance and that the real estate taxes are current (or can be brought current).
You will not need to have a new appraisal of your home done, and in most cases you will not be required to pay any out of pocket closing expenses. The expenses associated with a modification are typically part of the newly modified loan, and are repaid over the course of that loan. And you do not have to get an appraisal done, because you are modifying your existing mortgage loan with your existing mortgage lender. Your existing mortgage lender will know the value of your home based on the data provided when the loan was initially made, and from publicly available sources. What you do need to do though is have an experienced debt management attorney help you with the process. It might seem like a few simple steps, but a lot of times the process becomes more complex than simply filling out an application and providing documents. In a good number of cases the lenders request duplicate information, and drag their heels while processing the application. But when you enlist the help of a professional, you get the benefit of knowing clear records are made and kept, and a no nonsense approach is taken.

For more information about debt and mortgage modifications, call us today or reach us online at We offer appointments at multiple locations for your convenience and can schedule a time to visit with you today.

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