Banks and mortgage lenders made many loans in recent years that were based on inflated appraisals, artificially high market values, and their own greed and corruption. Sometimes, loans were made with outrageous deceptive interest rates, which rapidly increased within days of closing the loan. Many homeowners were victims of these and other predatory lending practices and are now unable to pay their loans. Some can pay but are considering their options as home is “underwater,” which means that they owe more than their home is worth. And many others just had a change of circumstances in their lives and find it difficult to keep current. Whatever the reason, if you want to keep your home and cannot afford to pay the full balance (redemption) or pay the back due amount in full (reinstatement), a long modification is likely your best bet.
Under the guise of helping homeowners to save their homes, various loan modification programs have been put into place. We've used these, along with leverage we create in the litigation, to help many clients reach affordable loan terms. In some cases, loan modifications include a reduction in the principal balance due.
In some instances, the best way to effectuate a loan modification is by creating leverage. Exposing evidence of fraud, false documents, “robo-signing,” servicing errors, misapplication of payments, evidentiary violations, discovery violations, illegal collection practices and more, can help. In order to increase your chances of obtaining a meaningful loan modification in Hollywood or Fort Lauderdale, you need an experienced lawyer on your side and the Law Offices of Evan M. Rosen is here to help. We are dedicated to serving our clients and we will diligently represent you to help you to achieve the best possible modification, should that be your goal.
You are welcome to read more about loan modifications below or you can contact us now for a consultation by calling 855-55-ROSEN or by filling out our online form.
Loan modification is a change made to the terms of the existing mortgage on your home. It is different from refinancing, which is when you obtain a new loan to pay off your old loan. Modification is possible when refinancing is not available because of poor credit or because you are "underwater," owing more than the home is worth.
In many cases, a loan modification involves a change to the repayment terms on your loan, but it may or may not include a change in the balance owed. For instance, your interest rate could be reduced or the length of the loan could be extended. You may even have some portion of the balance owed on your loan deferred, which means a lump sum is due at the end of your loan. That lump sum typically does not bear interest. In some cases, we have helped clients obtain principal reductions, which permanently lowers the total amount owed.
Although loan modification programs were created with the stated goal of helping struggling homeowners, they do not help everyone. One of the overriding concerns is that the servicer may just be fishing for information to see if they could be successful in obtaining a deficiency judgment against you. Without a judgment being entered, your financial information is completely irrelevant in a foreclosure action; just as the millions of dollars the servicers and banks got from their bailouts from the taxpayers is irrelevant. If you have something worth going after, by opening up your books at this stage, you are divulging damaging and sensitive financial information. It may also hurt your bargaining strength and your case. But in most instances, if you want to keep your home and can afford a reasonable monthly payment and are not sitting on significant cash and assets, it typically makes sense to apply for a modification to see what the servicer/bank is willing to propose.
We have helped many clients obtain loan modifications. At one point, we would not recommend these for a number of reasons, but things have changed in recent years. The odds of winning at trial are not what they once used to be and banks are much more willing to work with us than they used to be. We'd like to think our track record (winning the majority of our cases at trial) has helped motivate banks to work with our clients. So, if you want to keep your home and put the litigation behind you, often the best course of action includes trying to work out a loan modification.
At the Law Offices of Evan M. Rosen, we will fight vigorously for you to help you in any legal and ethical way possible. This includes trying to obtain a loan modification, with favorable terms, if this is what's best for you.
We listen to our clients and do all we can to help them achieve their goals. We focus on treating our clients as we would want to be treated and treating their cases as if they were our own. Contact our Fort Lauderdale and Hollywood loan modification lawyers today at 855-55-ROSEN or through our online form to schedule a consultation to learn more.
Let the Law Offices of Evan M. Rosen serve you!
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