There are plenty of expenses that go into purchasing a home. In some cases buyers are so focused on the initial process that they do not consider what goes into maintaining a home. Appliances can break or inclement weather can cause property damages. Unforeseen events can lead you to get behind in your mortgage payments. If the fees involved with owning a home are starting to pile up – you do not have to feel like you’re stuck! You might want to explore the option of a loan modification if costs are outweighing your budget.
Loan modification occurs when a bank agrees to change the terms of a loan. Most cases of loan modification are initiated after a homeowner has failed to make mortgage payments. The bank may have warned the homeowner that it would be filing for foreclosure or the process may have already started. Whatever your status, you should know loan modification could be an option!
In a loan modification, there are permanent changes made to the terms of the loan. You may feel like you are locked in a mortgage, but there are some freedoms. The lender negotiates new terms and a modified loan is reinstated. Loan modifications can reduce the monthly payment to a rate that is more affordable to the homeowner.
You may qualify for the Home Affordable Modification Program (HAMP). HAMP was put forth by the Federal Government to provide economical loan modifications for homeowners. Those that are eligible for HAMP may have reductions in interest rates to 2%.
If you’re feeling overwhelmed with the costs of your home Citizens Law Group LTD. can help. We have helped many homeowners win their financial security back. Contact us today to determine if loan modification is right for you.