A loan modification is a change to the loan contract which is agreed to by the lender and the homeowner. The lender modifies the existing loan(s) in order to work with the homeowner because of a hardship. The purpose is to help make the loan(s) more affordable. Usually it is in the form of a rate reduction and fixing the rate for a certain duration of time. In the past, this was only used when a borrower was delinquent and suffered a hardship such as a job loss, divorce, illness, etc.
Now, borrowers can obtain modifications from their lender for unaffordable rate adjustments on adjustable rate mortgages. The earlier the homeowner addresses the issue, the better the chances are of negotiating a fixed rate and a payment that is manageable. If the homeowner can afford their home and just not their mortgage, then they may be eligible for a loan modification.
A key factor that is required in every loan modification submission, is the existence of a financial hardship for the borrower. The hardship can be temporary in nature or permanent, but the borrower must be able to prove the hardship.
We have partnered with a Law Firm that performs Forensic Loan Audits and Loan Modifications.
- A Forensic Loan Audit is a comprehensive investigation of the documentation from your existing loan(s). A special state and federal mortgage loan post compliance software is used to calculate and identify violations, which compiles the results into a detailed report.
- The Forensic Loan Doc Review is a significant part of a loan modification request submitted on your behalf. - Well over 80% of the audits on ARM Loan docs performed, reveal major TILA (Truth in Lending Act), RESPA (Real Estate Settlement Procedures Act), Predatory Lending, and Real Estate/Mortgage Fraud violations.
- In some cases, if you were simply overcharged by only $35.00 on the final HUD-1, or if the annual percentage rate(APR) is only .125% higher than what was originally disclosed; there may be a violation of the Truth in Lending Act.
- This now gives the Law Firm leverage when negotiating with the lender and more than enough incentive for the lenders to grant a beneficial loan modification.
Click Here to get started on your Forensic Loan Audit and Loan Modification.
