Many people in the current state of the economy are seeking
mortgage loan modification assistance. The one thing you have to keep in mind
is if you are facing foreclosure, time is crucial. You don’t want to wait until
the last minute to begin researching.
Researching
Modification Services
Are you having trouble making your mortgage payments because
of circumstances beyond your control? Have you just found you will soon be out
of a job? These are certainly circumstances that may indeed qualify you for the
HAMP government program. In order to qualify for this and other similar
programs, you need to meet certain criteria:
- You must be unable to make your current mortgage payments because of a substantial increase in expenses, reduction in income or unemployment.
- Must be able to prove you can make the payments after modification
- Must have purchased the home prior to pre-defined government regulations
- Lender must be able to prove it can increase its profits after modification
Of course you can also locate a private mortgage loan
modification program, but the payments are likely to be higher since private
programs allow up to 36 percent of your income for payments compared to only 31
percent for the HAMP program. For more information about HAMP and other loan
modification programs visit credit-yogi.com.
Participation in the
HAMP Program
Don’t hesitate to consider the government affordable mortgage
home modification program if you’re looking to lower your payments. Sure, there
are private programs, but if you can qualify for this one, why bother? Of
course, you have to remember not all lenders have to participate—only those who
offer government-insured mortgages must participate. So what? There are plenty
of available lenders that participate. I used it myself after finding out how
much of a difference it would make in my monthly payments. In addition, the
government program offers incentives for both lenders and borrowers: the former
to encourage participation and the latter to make the new payments on time.
When to Apply
One of the most important things to remember about mortgageloan modification services is they can sometimes take up to a year for the
modification to go through. For this reason you want to make sure you put in
your application as soon as you realize you are having problems making your
payments—or even if you anticipate that you may have problems as in the case with
an anticipated lay off or decrease in pay in lieu of a layoff. The sooner you
contact your lender and discuss your options, the better your chances are of
the lender being willing to hold off on a foreclosure and wait for your
modification to go through.
