Florida Loan Modification Attorney
Experienced Foreclosure Defense Lawyers Helping Homeowners Save Their Homes With Loan Modification
When Florida homeowners face financial difficulties, it is not uncommon for them to fall behind on their bills and expenses. In some cases, they are unable to make mortgage payments on time.
With an adjustable-rate mortgage, the interest rate can change. For some homeowners, the interest rate is so high that it is almost impossible to make a dent in the principal loan amount.
If you have faced issues like these, you deserve a solution. Homeowners should not have to carry the burden of crushing debt.
When you are hoping to modify your mortgage or other significant loans, contact a loan modification lawyer. The Florida loan modification attorneys at our Foreclosure Defense Law Firm can help.
At our Foreclosure Defense Law Firm, we have decades of experience helping Floridians renegotiate their debts and loans. Do not hesitate. For help modifying your loan, contact our firm today.
What is Loan Modification?
These modification agreements are intended to change the original terms of a loan for the benefit of both parties.
Many mutual benefits can arise through loan modifications. For instance, a modified loan may allow the borrower to better manage their monthly payments. Modified loans also make it possible for mortgage lenders to recoup the money that was initially invested in the loan.
When a homeowner is behind on their payments, banks and lenders also have the option of foreclosing on the mortgage. But with foreclosure, both the lender and the borrower lose money.
Because of this, loan modifications are often ideal solutions for both parties.
According to the Office of the Comptroller of the Currency, 47,773 mortgage loan modifications were completed in the first quarter of 2021, so you are not alone.
If you want to learn more about your loan modification options, schedule a free consultation with a loan modification lawyer at our firm.
What Are Some Common Loan Modifications?
The terms of loan agreements can be altered in numerous ways. This is true for both mortgages and commercial business loans.
Some of the most common loan modifications include:
- Altering the required payment amount
- Changing the timeline of the loan
- Lowering the interest rate
- Converting interest from an adjustable to a fixed interest rate
- Delaying or forgiving a past portion of the loan balance
- Extending the due date of a balloon payment
- Waiving fees that are past due
These are only a few examples of the modifications that can be made to mortgages and other substantial loans.
Most often, loan modifications result in a lower monthly payment for the borrower. This makes the loan more affordable and allows the lender to recover their investment.
Loan modifications are different from loan refinancing options. Refinancing involves creating a new loan, rather than changing the terms of the existing loan.
Loan modifications maintain the same agreement between lenders and borrowers. However, both parties agree to alter the terms of the existing agreement.
Modifications are drafted by a loan modification attorney and added to your existing loan agreement paperwork and documentation.
Am I Eligible for a Loan Modification?
One of the most important elements in the modification process is securing advantageous new terms in your loan agreement. It is crucial to negotiate terms that allow you to afford future payment requirements.
Ideally, mortgage loan payments should constitute no more than 25-40% of a household’s gross income. After determining a sustainable payment rate, you will need to apply and qualify for a loan modification through your lender.
Qualifying for a loan modification involves several steps. First, you will need to provide evidence that the property covered by the mortgage is your primary residence.
You will also need to give your lender information about your financial circumstances. For instance, you will need to explain why you are unable to make payments under the current loan agreement.
Homeowners sometimes face financial difficulties following:
- The loss of a job
- Loss of income
- A divorce or separation
- The death of a family member or loved one
The bank or lender will probably require details about why the current loan agreement is unsustainable for you. This is true no matter what your financial circumstances may be.
You will also need to show that your current income would make it possible for you to afford a more reasonable loan payment.
Loan modification eligibility requirements must be proven using certain types of documentation. These include:
- Bank statements
- Tax returns
- Pay statements
- Check stubs
- And more
Sometimes, borrowers must provide written explanations detailing their financial histories and circumstances.
One of the best ways to secure a loan modification is to speak with a legal professional. A loan modification attorney will work to secure the most advantageous agreement terms possible.
How Long Do Loan Modifications Take?
The timeline for loan modifications may vary. Typically, lenders are required to respond to submissions for loan modifications within thirty days.
After the loan holder receives your submitted documents, you will be assigned to someone that will review your case. The lender should provide this person’s contact information to you.
During the qualification process, you have the right to receive notifications about your current loan status. Lenders are required to provide you with your current balance, payment history, and the ownership of your loan.
When you speak with an experienced loan modification attorney, they will review these documents carefully. They will negotiate on your behalf to secure the most beneficial terms possible.
What Are the Advantages of a Loan Modification Attorney?
When you need to modify a significant loan in Florida, securing the services of a legal professional is vital. One of the most significant advantages of hiring legal counsel is being able to understand your rights as a borrower.
A Florida loan modification lawyer will provide you with unbiased information. This can help you to make the best decision possible for your specific needs.
While there are certain legal requirements for lenders, they do not always have the best interests of their borrowers in mind. Your attorney will work hard to protect your best financial interests.
In some cases, banks and lenders are uncooperative regarding loan modifications. In these cases, it is crucial to have a professional negotiate on your behalf.
An accomplished attorney from our Foreclosure Defense Law Firm can ensure that your lender complies with all relevant regulations and statutes. For instance, lenders are not permitted to pursue foreclosure while simultaneously considering loan modifications.
Finally, a loan modification lawyer can help you to avoid the possibility of foreclosure. An attorney might be able to convince the loan holder to halt the foreclosure process.
If you believe that you are facing the prospect of foreclosure, contact a legal professional as soon as possible.
Schedule A Free Consultation With An Experienced Foreclosure Defense Attorney
If you are hoping to renegotiate the terms of a substantial loan, do not hesitate. Contact our Foreclosure Defense Law Firm right away. Our team of accomplished foreclosure defense attorneys has the skills and knowledge to effectively negotiate on your behalf.
Financial challenges and difficulties can happen to anyone. When you are unable to keep up with your mortgage payments, you deserve representation. Do not let uncooperative lenders keep you from reaching a solution.
Our Foreclosure Defense Law Firm boasts more than fifty years of combined legal experience. We know what it takes to secure advantageous loan modifications for homeowners.
Clients trust our skilled legal team. That is why our firm has an A+ rating from the Better Business Bureau.
We will happily provide you with a free initial consultation to discuss your situation. For premier legal services in Florida, contact our Foreclosure Defense Law Firm.