If you are reading this article then you are either facing foreclosure, anticipating a financial problem, have a friend or relative who needs help. Regardless, we just want to help and be a resource for your loan modification or to help you fight foreclosure.
Here are the most common loan modifications:
Lowering the interest rate
Reducing the principal balance
Fixing adjustable interest rates
Increasing the loan term
Forgiveness of payment defaults & fees
Any combination of these
We are big fans of reducing the principal balance on the loan for many reasons. Foremost, when homeowners are far underwater they are more tempted to simply walk away. This reduction in principal normally means a lower and more reasonable mortgage payment for the borrower and much greater odds that the borrower can avoid foreclosure.
