The Mortgage Guru

If you are upside down in your mortgage a loan modification may be the answer. If your mortgage rate has gone or is about to go adjustable a mortgage loan modification may be the answer for you. The sweeping new trend which has been extremely successful is a loan modification program.   It can reduce your interest rate, defer payments, extend the length of the loan or forgive some part of your principal. Homeowners do not have to go through the refinance process and can hire a company to deal with the current lender to “refi” under new terms.  Borrowers would get help in several ways: Interest rates would be reduced so that borrowers would not pay more than 38% of their gross income on housing expenses. Another option is for loans to be extended from 30 years to 40 years, and for some of the principal amount to be deferred interest-free.

Late last month, JPMorgan Chase expanded its mortgage modification program to an estimated $70 billion in loans, which could aid as many as 400,000 homeowners. The modifications were to include reducing amounts owed or the loans’ interest rates, and replacing so-called “pay option” loans that typically resulted in mortgages growing over time.

Bank of America, meanwhile, has said that starting Dec. 1, it will modify an estimated 400,000 loans held by newly acquired Countrywide Financial as part of an $8.4 billion legal settlement reached with 11 states in early October.

I highly recommend using a company that employs attorneys to handle your loan modification. Attorneys have a fiduciary duty to put their clients first (and clients have many remedies, including lawsuits and disciplinary complaints to the bar association, if the attorney fails to fulfill those duties).

That’s a far cry from many of the fly-by-night outfits that demand big upfront fees and then fail to act, or disappear with the money.

If you would like more information regarding this program or a referral to a company I employ and trust please contact me right away so we can get you started on your loan modification process and help you save your home. I work with several attorney backed companies that offer a 100% money back guarantee if they cannot assist you.

You can contact me directly via e-mail at mgarnes@garnesmortgage.com or phone at 702.526.3133.

Thank you for reading and make it a great day!!

Tags: mortgage loan modification //