You understand the danger your family and home is facing as you continue to fall behind on your mortgage payments and be late on your bills. You are frustrated, anxious, terrified and confused – you don’t want to lose your home! So, what are your options?

At this point, looking into a loan modification is your best option. How can a loan modification/mortgage modification help you? Here are some ways that a loan modification can help save your home:

-          It may change your floating interest rate to a lower, fixed rate

-          It may lower your monthly mortgage payment

-          It may reduce your unpaid principal balance

-          It may stop the foreclosure process

-          It may extend the length of the terms of your loan

-          It may reduce your late fees or other penalties

If you are unsure whether or not you qualify for a California loan modification, or don’t know where to begin, contact our Orange County loan modification attorneys at 949-361-3232 today. Our experienced attorneys will guide you step-by-step during the entire process. If you’re ready to save your home, call us now.

In our last blog post, we briefly described what the HAMP (Home Affordable Modification Program) was and outlined the general eligibility requirements of the HAMP.

Let’s now review some eligibility issues that a homeowner may have under the HAMP. Your property is ineligible if:

• the mortgage was originated after January 1, 2009, it is not in first lien position (this means that in the event you default, the creditor is first to receive remuneration, or compensation) or the unpaid principal balance is above $729,750 for 1 dwelling unit
• your property is vacant, is condemned, or you have more than 4 dwelling units
• you previously had a HAMP modification on any other loan
• the modification was declined by a bankruptcy court

You may also review the resolution matrix for a detailed look. We understand that it may be a daunting and intimidating task to traverse maze of HAMP requirements not to mention possible discrepancies on your foreclosure case. If you need expert assistance on navigating the HAMP eligibility, contact our Orange County foreclosure attorneys today. Call us: 949-361-3232

One of the steps in the loan modification process is sending your lender a “hardship letter.” What exactly is a hardship letter? Basically, it is a letter that details the events leading to the present – the explanation of how you fell behind on your mortgage, in other words. It will outline what life circumstances have occurred to account for your current situation. This is a vital piece of the puzzle in the loan modification process that is ultimately meant to help stop foreclosure.

Here are some examples of circumstances that may have happened to you that may be cited in the hardship letter for your loan modification:

-          Job loss/unemployment

-          Reduced income

-          Job relocation

-          Death of my family member

-          Death of my spouse

-          Illness

-          Medical bills

-          Business failure

-          Divorce/marital separation

-          Military duty

-          Incarceration

-          Damage to property

-          Payment increase

-          Too much debt

Your hardship letter should be concise (about 1 page) and contain what happened, how it affected your ability to pay your mortgage, what you plan to do or have done to rectify your situation, as well as your contact information.

If you need professional assistance with a California loan modification, please contact our experienced loan modification attorneys at the Manning Law Offices – 949-361-3232.

You’re not the only one. In fact, one in every 239 homes in California is currently defaulting on a mortgage loan. So you’ve heard that a loan modification can help you keep your home and you are now wondering if you qualify for one. The Homeowner Affordability and Stability Plan (also known as the “Making Home Affordable Program” or HAMP), put in place in 2009 by the Obama Administration, was designed to assist at risk homeowners (i.e. delinquents and those whose default is imminent) avoid foreclosure by providing affordable mortgage loans through restructuring or refinancing their mortgages. In other words, you may be able to reduce your monthly mortgage payments to one that fits your budget.

The HAMP is aimed at helping those who were dedicating greater than 31% of their gross income toward their mortgage payments (housing expense to income ratio), thus, if you met the requirements, your payment could be reduced by 31% of your gross income.

What are some of the eligibility requirements?

• Your mortgage must have originated on or before January 1, 2009
• You’re facing imminent risk of defaulting on your loan or are currently behind on your mortgage payments
• Properties are single-family 1-4 unit primary residences (condo, cooperatives, Single-Family etc.)

Understanding the all of the HAMP program eligibilities and modification process may be a daunting task. Consulting professional assistance with a real estate attorney can increase the chances of receiving a home loan modification.

If you’re having trouble paying your home loan, many mortgage lenders are willing to work with you, particularly if you currently are in an adjustable rate mortgage or high interest rate.

Contact our expert Orange County real estate attorneys at the Manning Law Offices if you’d like to learn how you can save your home in a swift manner! We’ll help you find what program fits best for you.

A good Orange County real estate lawyer and dediated team on your side can be the first and most important step to saving your home from being sold by your mortgage lender.