Queens, Brooklyn, Bronx and Long Island Foreclosure Defense Lawyers
Loan Modification is an excellent option available to people who are struggling to make their mortgage payments. If you’ve already defaulted on a mortgage or think you will soon, a loan modification can adjust the terms of your loan, saving you from residential foreclosure and making it easier to pay off your mortgage
Loan modifications must be negotiated with your lender so it is very important to work with a law firm who can help you understand the terms of a modification and advise you on how to proceed. At Poltielov & Habib, LLP, our New York City loan modification attorneys are skilled, experienced advocates for homeowners. Contact us today for a free, fully confidential consultation.
Mortgage Loan Modifications: Understanding the Basics
A loan modification (mortgage modification) is a voluntary agreement between a borrower (homeowner) and a lender to adjust the terms of a mortgage. As a general rule, loan modifications are negotiated when homeowners are struggling to keep up with their mortgage payments. A loan modification could result in the change of:
- The interest rate;
- The duration of the loan; and/or
- Monthly payments.
As part of a loan modification agreement, some fees may be waived. It is even possible that a portion of the principal or the accumulated interest could be reduced. To be clear, loan modifications are negotiated by the parties. When mortgage lenders owe certain duties to borrowers, they are not legally required to provide a loan modification.