Many homeowners may not realise that a mortgage modification could be a great help to them. A modification can not only assist those facing foreclosure or those who are behind with their repayments, but it can also help those who would like a lower monthly repayment or a lowered interest rate. The process for obtaining a loan modification is not easy, and it can seem like a daunting and stressful journey, which won’t happen overnight, but these tips should help prepare any homeowner who is considering loan modification to achieve the result they desire.
- Seek out a loan company or an attorney: Although not an essential step, it will make the process run more smoothly and easily. There are a variety of companies and attorneys who specialise in this area, so it is definitely worth researching a number and finding out exactly what they do and how they can help.
- Keep documentation accessible and organised: There is a large volume of paperwork to complete during the course of seeking a loan modification, so it is a good idea to have the relevant documents to hand before seeking advice from a company or attorney. The process can be made quicker and easier if the applicant has some basic documentation to hand. Essential documents needed include:
- Paystubs or payslips
- Bank statements
- A hardship letter
- Any documentation pertaining to the loan agreement the homeowner currently has.
- Ask questions: This is an unfamiliar process, and it is acceptable to ask questions as you need to. There are no irrelevant questions when your home is at stake.
- Stay in contact with the company or attorney. Ask about progress or if there is anything they require to speed up the process.