[noneiknow]

What if my lender refuses to approve my request for loan modification?

[admin]

can you afford your property? If not how short we have been able to help. What was their reason for denial? It should have been stated in a denial letter.

[Tom Brady]

Lenders are generally aware of the fact that if they will not agree to modify your loan, they would not receive any payment from you at all. Therefore, they are more than willing to help you determine how much you can afford to pay and collect it rather than foreclose on your property. Aside from not get money from you, your lender also spends a lot in a foreclosure. But just in case your lender is staunch enough to proceed with foreclosure, there are still available options for you to take in order to avoid foreclosure.

[admin]

If the homeowner can not afford their home the lender will continue with the foreclosure.

[Denver Foreclosure]

An unfortunate situation... I have had many clients try and negotiate a modification themselves and often times the lender is too stubborn to listen. We often times get the modification done while the home owner could not on their own.

[ModificationDoctor]

Well, first of all, it is important to understand WHY your lender denied the request. Do this, take your GROSS, NET income for the month, and subtract out your current mortgage payment, all bills which would show on your credit report. Additionally, subtract out your monthly figures for food, gas, lights, heating, phone, electricity, insurance and any other recurring monthly debt. Once you have done that, how much are you left with? You should have atleast 8% left over after everything is subtracted. If you are left with a negative number, then you must see whether that number will change if the rate was reduced on your current mortgage balance. So, if you can, do a mortgage calculation with a lower rate, (as low as 3%) and then see whether or not you would end up with atleast 8% of your NET income left after all expenses. If so, you would QUALIFY for a loan mod. The importance of doing the numbers YOURSELF is to insure that nothing has been missed and you completely understand your situation. Hope this helps.

[Loss.Mitigation]

I've seen this with a few people i've directed and have had the chance to ask one lender why the mod was kicked back and she simply did not want to deal with the homeowner she suggested with representation the outcome may be different and sure enough i submitted and was accepted, I think some banks just prefer a third party be involved.

[ninjaowen]

Tom is right... usually home lenders will never agree to have your loan modified.... too bad but sometimes this is reality.

[admin]

Ninja, what are you talking about we get them done all the time, we have helped many homeowners stop foreclosure

[hwood]

Did you try to get the loan modification yourself? While it's possible, it's not necessarily the smartest move...kind of like representing yourself in court. You might want to consider contacting a loan modification company. Loan mod companies are knowledgeable about the legal technicalities of the loan documents. They also have connections with loss mitigation departments and working with a loan mod company the lender that you're serious about saving your home. They are really helpful when I talked to them. My lender was Countrywide and they worked with them and now I pay almost $1000 less a month. Their number is 1-877-968-5337. The consultation is free so it's worth giving it a shot.