There is a new streamlined loan modification process that can help hundreds of thousands of homeowners who are currently at risk of foreclosure. For most homeowners, it is preferable to have the assistance of a professional foreclosure consultant in dealing with the entire loss mitigation process. Foreclosure consultants deal with loss mitigation specialists every day and have no emotional attachment to your situation. They are able to remain objective and ensure that you are represented with the maximum of fairness and respect.
The loan modification process involves various elements and can be daunting to say the least for the vast majority of homeowners. Everyone experiences financial hardships from time to time. The economy is not the healthiest that it has ever been currently and there are thousands and thousands of new foreclosure filings every month. In September of 2008, there were more than 81,000 foreclosures initiated in the US. These are record numbers and both the federal government and the mortgage lenders understand that homeowners need to be given all of the consideration possible to catch up on their delinquent mortgage payments.
Here are some of the requirements involved in the loan modification process:
A letter of hardship that explains to the lender why you have fallen behind on you payments. This letter needs to be honest and convincing. You are attempting to get the lender to modify your loan. They are under no obligation to do so.
Recent pay stubs or alternate financial statements;
Copies of your tax forms;
More as required by your lender;
The loan modification process can take time so you want to initiate action as soon as it is possible to do so. It is imperative that you develop an organized plan and then are very communicative with the lender. These are the reasons that so many homeowners find it beneficial to hire a professional foreclosure consultant. Foreclosure consultants are experts at the loan modification process and at dealing with lending institutions in general. They do it every day.
The goal of the loan modification process is to establish a realistic repayment schedule that works for both the homeowner and the lender simultaneously. A successfully modified loan will normally involve:
Lowered monthly payments;
An extended loan period;
A partial repayment of the delinquent amount;
Your foreclosure consultant can also instruct you on just how to obtain a loan from the Federal Housing Authority (FHA) that will bring your mortgage current and stop foreclosure. The important thing to remember is that there is still hope for you and your family to keep your home. Foreclosure doesn't have to happen. You simply need a solid plan of action for dealing with the loss mitigation department at your mortgage lending institution.
Contact a professional foreclosure consultant to discuss all of your options. You can save your home from foreclosure!
Igor Mosyak is the founder of http://www.StopForeclosureHelpToday.com an organization dedicated to helping homeowners facing foreclosure. We provide a wealth of information on the whole foreclosure process and provide visitors of our website with FREE e-Book on “Stopping Foreclosure-Understanding Your Options".