How a Foreclosure Defense Lawyer Can Help You Explore Loan Modification Options – Guest Post

Foreclosure is among those things that send chills down the spine of a homeowner. It is amongst the very few things in life that will fill a person’s heart with stress and uncertainty. Fortunately, it is not an eventuality that must be. The Foreclosure Defense Attorney will discuss and explore different options with a loan modification that will return you to the driving seat and into your home. How better such professions can serve in this war to help you out will be discussed in this paper.

Modification of loans refers to the adjustment of some terms in a mortgage so that the payments become more affordable. It may involve reduction of interest rates, extension of time required for payback, and even the principal balance reduction. Modifications are effective when one has problems maintaining regular monthly mortgage payments as a result of financial distress.

This may however be a very complicated procedure and which is tricky to go through without a professional who could guide you through the procedures involved. It is at this point that a foreclosure defense attorney becomes important.

Why You Require a Foreclosure Defense Lawyer

The process of foreclosure and modification of loans is intimidating to the average homeowner. Following are the reasons you need to involve a foreclosure defense lawyer in your process:

Knowledge of Foreclosure Laws in-depth

Each state has different laws and ways of conducting foreclosures. A good attorney who defends against foreclosure will help you through these-from being knowledgeable about each and how they may infringe upon your rights.

Negotiation Skills

Modification of loan means one thing: negotiation with the lender. This is a task that is daunting to the homeowners. Lawyers in the foreclosure defense fields have large capabilities and knowledge in how to help one negotiate on behalf of the other.

Foreclosure Prevention

Sometimes, lenders initiate foreclosures even when modification requests are pending. To that end, a foreclosure defense attorney can be indispensable in filing the necessary motions or lawsuits with which to temporarily stay the pending foreclosure in furtherance of his options to modify.

Common Pitfalls to Avoid

The application of loan modification can be rejected on technical grounds, incomplete paper works and time limits. A lawyer can save your application from these defects and files it before time which will increase the rate of approval of your application.

How a Foreclosure Defense Lawyer Can Help You Explore Loan Modification Options

Following are some of the specific ways a foreclosure defense lawyer can help you:

Financial Status Analysis

Before modification, one’s financial status has to be analyzed. Income and expense reports coupled with debts outstanding from a forensic viewpoint are looked upon by the foreclosure defense attorney. These reports would determine whether you will be qualified for a loan modification. This would also lead to the best approach to employ for modification fitting your case.

Loan Documents Review

Anything that was missed or any terms that could be considered questionable can help your cause to renegotiate your mortgage agreement. Your attorney, here, would then review your loan documents for possible mistakes such as incorrect interest rates, hidden fees, and even predatory lending.

Making a Good Application

It is based on one thing, which is to offer an all-inclusive comprehensive modification application. Whatever documents the attorney deems fit to attach, starting with a statement of income and a signed tax return to a hardship letter he’s developed with serious thought, is presented accordingly.

Communicate to Your Lender

Lenders can be frustrating to deal with in general, but especially so when large words are involved or responses are held off. A foreclosure defense attorney acts on your behalf to keep the lines of communication with your lender clear and professional to get things moving at a much faster pace.

Exploring Alternative Solutions

If your attorney is not able to work out a modification to your loan, he will be in a position to explore alternative options for foreclosure such as, but not limited to forbearance, refinancing, and/or short sale. Any alternative will be done that’s possible to make them viable for you so you could keep your home and hold minimum financial loss as is feasible.

Legal Representation

In the event of the denial of the application for modification, or initiation of foreclosure against the property, your lawyer may further represent you before the courts. This would include filing court motions, challenging the foreclosure process on legal grounds or request for temporary restraining order in an attempt to prevent foreclosure to pursue the workout.

The Advantages of a Loan Modification

An effective loan modification has many advantages that distressed homeowners benefit from, some of these benefits being:

• Smaller Monthly Payments: It can make your mortgage more affordable by either reducing the interest rate or increasing the period of repayment.
• Save Your Home: Modification will enable you to retain your home and avoid the emotional and financial destruction of a foreclosure.
• Smarter Credit Recovery: Whereas foreclosure wreaks havoc on your credit rating, you can begin the process of recovery with a loan modification.
• Less Stress: The knowledge of paying an affordable house payment can lessen the degree of stress involved with facing a foreclosure.  

How to Choose the Best Attorney in Foreclosure Defense

You will want to know whether an attorney practices foreclosure defense and has experience in loan modifications. Some of the things you may be looking for in an attorney include experience wherein they have settled many cases for homeowners in just a situation like yours.

• Transparency: A good lawyer will be transparent with his or her fees and possible outcome of your case.
• Communication Skills: He should be responsive, emphatic, and willing to share everything with you.

Take Action Today

If paying your house is tough on you or you know a foreclosure is pending over you, do not wait until the last minute to look for help. A Foreclosure Defense Lawyer could save your home by trying to modify your loans.

Being proactive and taking proper professional advice, you will be better placed to find another solution that works for you. You can explore more options to avoid foreclosure and, moreover, be well set in securing your financial future ahead of time.

You will be rightly advised and be able to rise above the issues of foreclosure, hence being on a better track for you and your family.