Mortgage modifications can be ideal, but are difficult!

By
Real Estate Attorney

MODIFICATIONS OF LOANS IN DFW

Reaching New Terms for Troubled Mortgages

According to statistics published by the Texas Progressive Coalition (TPC), an advocacy group heavily involved in homeowners' rights issues, as many as 20% of homeowners throughout the state are currently underwater on their mortgage. In Dallas as well, numerous homeowners are upside down on their home loans, meaning that they owe more than what their home is worth. If you currently find yourself in this unfortunate predicament, it is vital that you understand that options are available and that our firm's Dallas bankruptcy attorneys are prepared to help you explore them. With 85 combined years of experience, our legal team has the skills needed to help you protect your home.

Knowing that far too many homeowners throughout the region are still reeling in the wake of America's housing crisis, we offer our full support and assistance to those who want to take action to defend themselves, their well-being, and their property. As loan modifications can be initiated when a homeowner is in default, behind, or current on their mortgage, we believe that anyone concerned about their ability to pay their underwater loan should be intent on learning about the ways in which new terms can be reached.

What are loan modifications?

Loan modifications involve the restructuring of mortgage terms. Modifications are reached through direct negotiations between lenders and borrowers. Essentially, loan modifications are designed to allow homeowners to sit down with their lenders and reach a compromise that satisfies both parties. Depending on the circumstances involved, these loan modifications, and the ways in which they benefit homeowners, can vary. Generally, loan modifications can provide the following benefits:

  • Loan workouts (ways to catch up on missed payments)
  • Lower interest rate or a change to a fixed interest rate
  • Rolling debts into a new loan
  • Lowering of the principal balance
  • Reduced penalties and / or late fees
  • Lengthening of the loan term
  • Capping monthly payments to a percentage of income

As the result of such widespread housing problems and high rates of foreclosures, lenders have become the targets of boisterous scrutiny. In response, lenders are more willing, or at least more strongly obligated, to give homeowners a fair chance of reaching fair loan modifications. This, however, creates new problems. Lenders are often inundated with requests for loan modifications and initiating these actions can be complicated by a number of hurdles. By working with our firm, you can ensure that you have the help you need to see the curve balls before they're thrown and to find ways to reach the best possible terms and outcome.

Trust Bankruptcy Attorneys with 85 Years of Combined Experience

Comprised of a highly regarded legal team that stands tall for our clients, our firm is here to help you explore your loan modification options. We are confident in our abilities and strive to create a real, close-working relationship with you that can set the tone for future success. We're just like you, and we've had to work hard for everything we own as a firm. As a result, our clients find that we are willing to handle matters that others are unwilling or unable to touch, that we will always be by their side, and that we will always fight for the best possible results. If you would like more information about loan modifications, or if you wish to learn more about your personal situation, please request a free case evaluation or contact a lawyer from a qualified firm to discuss your needs.

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