Phoenix Home Loan Modification
For several months, the national and local media was focusing on the economy and specifically the struggling mortgage industry. Homes were being foreclosed upon at record rates and a staggering number of people found themselves not only owing more than their home was now worth, but also that they were falling behind or about to fall behind on their mortgage payments.
However, recent months have seen a shift of media focus from the real estate market to the health care issue, but the fact is that thousands of people in Phoenix still find themselves in trouble with their mortgages. A quick look at recent listings reveals that approximately 12,000 homes in Phoenix are listed as being in foreclosure at any given time. While the number has dropped to an extent from the beginning of the year, it remains a significant problem for too many people.
Fortunately, if you are one of those homeowners who is looking for any sort of option to save your home, you have options available. One of those options is a home loan modification, and while many have at least heard about the opportunity, few seem to understand what it involves. Basically, a home loan modification involves adjusting the terms of your existing mortgage so that you are able to maintain the payments and to basically save your home from foreclosure.
Everyone should keep in mind that lenders have little interest in foreclosing on a property. The process is expensive and it leaves the property in the hands of the lender to sell off, almost always at a large loss. Foreclosure is in effect the lesser of two evils – getting something for the property loan as opposed to nothing at all if the borrower is allowed to remain in the property without making timely payments.
The terms of your loan that could be adjusted will vary depending on the specifics of your situation, but the following represent possible adjustments:
- A reduction in the total amount you owe on the loan
- A reduction in the interest rate
- A lengthening of the term of the loan
- A lowering of the monthly payments
- Any or all of the above
Whether you qualify for such an option will depend on your overall financial situation, including your sustainable income. Even if you do qualify, however, you’ll need to work with a Phoenix home loan modification lawyer so that you can be sure to work towards a new loan that’s fair. In essence, this is a negotiation process that requires knowledge of the law and skill in regards to working out a deal with another party. If you’d like to explore this possibility as you work to save your home, contact the Phoenix home loan modification lawyers at Phillips & Associates today to schedule a free initial consultation.
Tags: foreclosure, home loan modification, mortgage, Phoenix home loan modification lawyer