Read the Mortgage Fine Print

Many of the calls to my law office involve assisting potential clients with a review of their mortgage situation when their payments seem to jump up $300-$500 seemingly overnight.  This MSNBC report address just such an occurrence.  For many, it seems they converted to an Adjustable Rate Mortgage (ARM) when they were offered an interest rate or 1-3%.  However, now three to five years later the potential clients have neglected to refinance, and now may not be able to since their home may not apprise in the "down" market for what they currently owe.  Their first step needs to be a call to their lender's loss mitigation department to see what if any arrangements may be made to restructure their loan if they truly are in a hardship situation. 

Despite the 3 day right of rescission on a refinance loan, during which many people could read and review their documents, I find that many claim that they just "didn't know."  A good lender will explain the documents to you and ensure you understand, plus may very well provide you with a real estate attorney's name if you request it.  One lender that I work with, Toby Riley, believes in ethics and customer service so much he does just that.