LOAN MODIFICATION SHORT SALES MORTGAGE LITIGATION FORECLOSURE

We all know that life is unpredictable, and circumstances often arise which prevent you from  meeting the demands of creditors. We are not here to pass judgment on you, or question your integrity, Sievers Law Firm will diligently analyze your individual financial situation and find you a realistic solution which meets your objectives. For many clients, that means keeping them in their home at any cost, for others it means eliminating the burden of unreasonable mortgage payments and preserving credit. There simply is not one right solution for everyone, and no one can tell you what is right for you without thoroughly analyzing your financial situation. Our best weapon in the battle with mortgage companies is the Truth in Lending Act (“TILA”) and the Real Estate Settlement Procedures Act (“RESPA”). These are guidelines mortgage companies must follow when originating loans. Most residential mortgage loans have TILA and/or RESPA violations which can be used as leverage in negotiations, or litigated.

Often times, when the consumer actually CAN afford to make a mortgage payment going forward (even if it's not a full mortgage payment), a loan modification and a mortgage pay rate reduction is a possibility. A loan modification involves demonstrating to the lender that a temporary situation caused the borrower to fall behind on the payments, but that the situation has been resolved completely and the borrower is eligible for a mortgage rate reduction. A loan modification typically requires proof, that the borrower earns enough household income each month to make a mortgage payment. Showing the lender a residential lease for a room, or rooms, in the house will usually suffice.

Loan Modification is also a great solution for a borrower who wants to stay in their property, but can't afford the payment to adjust upward, or can't quite afford the current mortgage payment. In that situation, a mortgage pay rate reduction is an ideal solution because it will lower the monthly mortgage payment to a manageable amount. Loan Modification is also a solution when the payment has not been made for a while, but the borrower can now afford to start making payments again.

The type of Loan Modification that is most beneficial for a borrower behind on mortgage payments is called a “recapitalization agreement.” A Recapitalization agreement takes all the arrears, interest, fees, and accumulated payments and adds it to the principal of the mortgage loan. The result of this negotiation is a slightly larger principal loan amount, but a status of “current” on the mortgage loan payments going forward.

As an alternative to a mortgage pay rate reduction, if you are unable to make payments at the current rate, we can often negotiate with your lender to extend your loan for a longer period of time, modifying the loan amount to a more affordable level. A Loan Modification will change your existing mortgage loan and give you a fresh new start in managing your home. With an attorney involved, you have an important ally in your corner to get you the mortgage help you need, FAST!

BEWARE : There are many scoundrels who prey on consumers in distress, please don't become a statistic, let Sievers Law Firm, represent you through this difficult time.