Assisting Clients with Loan Modifications in Pasco & Hernando Counties
One option that many of our clients find helpful is loan modification. During a loan modification (sometimes referred to as a remodification), a bank agrees to a lower monthly payment to help a homeowner catch up on what he or she owes. In order to apply for this, your bank will require a full and complete financial disclosure with current documentation, as proper financial hardship is necessary to qualify for a loan modification. We can handle the entire mortgage remodification process from start to finish.
Mortgage Modification Options for Your Home
A typical mortgage modification may include one or more of the following options:
- Principal forgiveness – In some cases, we may be able to remodify your loan by convincing the bank to permanently forgive a portion of what you owe toward your mortgage principal.
- Principal deferment – If you’re unable to keep up with your monthly mortgage payments, the bank may agree to let you repay a portion of the principal at a later date. Unlike with principal forgiveness, the debt won’t be erased—it will still have to be repaid at some point in the future.
- Interest rate reduction – We’re often able to help clients remodify their mortgages by reducing the interest rate on their loan. A lowered interest rate can make monthly payments more manageable, which can in turn get borrowers back on track with their mortgage payments.
- Extension of the maturity of the loan – The maturity date on a loan is the date when the final payment is due. If the maturity date on your mortgage is looming and you don’t have the means to pay off the loan, the bank may agree to extend the deadline.
- Shared appreciation plan – Shared appreciation loan remodifications are targeted at homeowners whose homes have decreased so much in value that the outstanding mortgage balance is now more than what the home is even worth. When this happens, the bank may agree to forgive part of the balance (which will in turn lower the monthly payment amount) in exchange for a percentage of any appreciation in home value that occurs before either the loan is paid off or the home is sold.
Every case is different, as each modification is dependent upon certain qualification guidelines. Helping our clients through this often difficult process is the focus of our individualized representation.
Why Should You Hire an Attorney?
While you may be tempted to handle the mortgage modification on your own, it’s important to work with a professional like us to make sure the financial disclosure is filled out and filed correctly. It’s easy to make a mistake and homeowners often do not properly or completely fill out the financial disclosure. A very important step we take in this process is making sure our clients are submitting complete and correct loan modification applications to the bank. This dramatically increases the chances of success, as the banks can make the remodification process very hard for people trying on their own.
Contact Us Today
If you want to learn more about the loan modification options that can help you stay in your home after receiving a foreclosure summons, contact The Lyons Law Group, P.A., today. One of the first things we will do is invite you to come into our office in New Port Richey or Spring Hill for a free consultation. During this appointment, you will meet with an attorney who will tell you more about the foreclosure process and encourage you to ask as many questions as you want. We will also explain the options available to you. We will utilize our passion for winning cases to help you receive a solution that works best for you.