Loan Modification
A new way to get you mortgage loan modification approved is coming soon!
Lower Mortgage Payments dot Org is changing the way we do business we are becoming a membership site which will have a staff dedicated to assisting property owners get their loan modifications approved.
You will simply sign up and create your login and password. We will email you the loan modification document package. You complete the package and submit to your lender. You will surely need some help along the way and that is where we come in. You just post what you need in the forum and we will help you get your loan modification approved free of charge.
There will be a video classroom area that will have step by step videos on how to complete the all of the paperwork and hardship affidavit.
We will post videos and audios on what to say to your lender when you make your first call and one for follow up calls too!
There will be a section with lender secrets. Without these knowing these secerts you may get turned down just because you had a little too much money in you checking or savings accounts or because the lender thinks you just went out and bought a luxury item and you do do not have a valid hardship.
Wouldn’t you like to know all this stuff before you speak to your lender?
Here is the best part our members area will be free for all founding members.
Most of the live assistance will delivered in our forum.
Check back soon memberships will be on a first come first serve basis. We will add a button when it opens up here and on the side bar section of the site.
What is a loan Modification?
A Loan Modification, or “Loan Workout Plan” is a permanent change to th terms of your mortgage and note that you signed when you bought your home. The Loan Modification is a Loss Mitigation Strategy, because of this, Principal Reductions are rare. Banks will typically Lower your Mortgage Payment by lowering your interest rate and extending the term of your loan.
A Loan Modification is not is a Refinance. It is not a new loan, so you do not need to have Equity in your home in order to preform a Loan Modification. also because it is not a new loan, the charges for a Loan Modification service is normally much less than a Standard Refinance.
Also, unlike a Refinance, a Loan Modification does not put you into more debt by adding fees onto your loan.
A Loan Modification is a Permanent Change to your Mortgage. If Your bank offers to lower your payments for 6-18 months or move your late payments to the end of the loan, It is not a Loan Modification. That would be called a forbearance, and many times has been labeled a “Temporary Loan Modification” to mislead Borrowers. Forbearances and Temporary Loan Modifications do not solve your problem, they just delay it.
A Loan Modification is permanent, it lowers your mortgage payment for the life of the loan.
So, Who Qualifies for a Loan Modification?
According to the standard set by the Federal Government, A Borrower Qualifies for a Loan Modification if they have had some sort of Hardship.
So, What is a Hardship?
Well Here are a few examples of a hardship:
If Your home is Worth more than you Owe
If you have No Equity
If you have an Adjustable Rate Mortgage or ARM Loan
If you or your spouse are making less than you did when you got the loan
If you or your spouse has lost their job since you got the Loan
If you have been Divorced, or separated since the time you got the Loan.
These are just a few examples of what the government and banks view a Hardship as. This means about 75% of home owners in Florida Qualify for a Loan Modification.
So, Who Should I Call, My Bank or a Loan Modification Company?
You Should Contact a Third Party Instead of going Straight to your bank. When you talk with your bank and the person on the other end give you an offer, do you really think they will give you the best offer? the person on the other line WORKS FOR THE BANK! They have been told to keep the bank making the most money off of you as possible.
Loan Modification Companies are typically Mortgage Broker Businesses, People who have years of experience negotiating with banks and serving their customers. They know how the banks work and what the banks want to see. They can Negotiate the best possible Loan Modification for you, with out the headache of spending hours per week on the phone with the bank.
How Long Does A Loan Modification Take?
Even the best Loan Modification Companies average 4-8 Months. Most banks are not willing to negotiate with their customers. They make the process difficult so they do not have to make as many Loan Modifications. Companies who specialize in Loan Modifications can get Loan Modifications done quicker with less hassle to you than If you did it yourself.