Home Loan Modifications

You may be aware of "home loan modifications" being talked about in the news, but do you understand the who, what, when, where, and why of them?

I created a website to answer those questions, hopefully in a clear manner. Check it out at: http://loanmodifications4help.homestead.com/ The most important reason I did this was because scams and rip-off's are all over the place preying on people who really need a loan modification - it's easy money for the scam artists. I have a friend who may have fallen for the "give me $3,000 and I'll get you a loan mod." It's been 3 months and I'm afraid she's not only lost her money but also just wasted 3 precious months.

Biggest, most important piece of information is DO NOT PAY ANYONE UP FRONT. The best loan modification companies will give you a free consultation and if they think they can help you, charge you an "application fee" to cover their costs of filing the paperwork and negotiating on your behalf. that usually is about $500. They will only charge you the balance of their fee upon a successful agreement.

And you can request one for yourself. Individuals who are financially savy and who understand how to negotiate with a bank negotiator can be successful without paying a loan modification company. Like with everything there are pro's and con's to both ways.

It's going to cost you about $3,000 to have a loan modification company do it for you. But the good ones have connections to the decision-makers and know how to negotiate with them. Most individuals are going to deal with much lower-level staff who have limited ability to negotiate the terms they can offer. Remember, there are thousands and thousands of people asking for loan mods and the staff the banks and mortgage companies have put in place to handle all of these requests are following strict guidelines and have limited authority.

I happen to personally know a guy that was a mortgage broker who helped me re-finance a house a couple of years ago. He and a partner have started a Loan Modification company and I can recommend him confidently. He's honest and ethical and will do right by you. And he and his partner have superb connections in the banking and mortgage community. He told me just the other day that even if someone was a week away from foreclosure they could possibly still help them. So if you want more information on loan mods go to the website I created at http://loanmodifications4help.homestead.com/ and pass the information along to others.

We're all in this rotten economy together...let's help each other whenever we can.