Mortgage Loan Modifications
The reality of life is that we are dealt with unforeseen circumstances which may prevent us from complying with a number of our obligations. Yet the truth will always remain that there is no better way of facing our obligations then by overcome their challenges. The inability to comply with the terms of a mortgage loan is nothing different in attempting to face the challenges it may bear when one cannot continue complying with a loan which was based on their financial condition at the time of acquirement and it should never be over looked as there is more to lose when there is a lack of communication between the parties involved.
Mortgage loan modifications have existed for many years. Yet new Presidential objectives to stabilize our economy have made Mortgage loan modifications better known to the general public. It is now our Legislatures intent to allow homeowners to preserve the right to homeownership and for this reason many programs have been established.
Do I need to hire an Attorney to negotiate a potential loan modification?
One of many rights that one has in the United States is the right of free will. No one is obligated to one person except that as defined in a contractual obligation such as a promissory note and the mortgage security agreement. It is advised that hiring a professional to negotiate the possibility of solidifying a mortgage modification of the existing loan may enabled the borrower(s) to comply with its/their obligation to repay the debt owed in accordance with the borrowers current financial condition but only a licensed Attorney will defend the interests of the borrower(s) to ascertain that any potential loan modification terms be in the best interest of the mutual parties but most of all in the overall best interest of its client.
Who qualifies for a mortgage loan modification, What are the requirements, and are Lenders/banks obligated to comply?
Not everyone qualifies for a mortgaged loan modification. One must always keep in mind that once a binding contractual obligation has been set, such as a mortgaged loan security agreement, there is no certain duty to the holder of the debt to extend any type of relief to the borrower of its contractual obligation. However, Mortgage loan repayment programs have been established by the United States government for this purpose.
The United States government established the “Troubled Asset Relief Programs a/k/a T.A.R.P.” in exchange for billions of dollars (T.A.R.P. funds) which would alleviate many financial institutions suffering from the numerous homeowners’ inability to repay their debts. Homeowners have been seriously affected by the financial difficulties caused by the weak conditions of today’s American economy. The billions of dollars allocated for the purpose of stabilizing today’s American economy, was established by the American government with the intent to preserve homeownership. The Lending institutions accepting these funds in exchange would enter into agreements of the “Troubled Asset Relief Programs”. It is not obligated but instead recommended that anyone seeking to modify the terms of their loan retain the services of an Attorney to preserve their interest as legal recourse in their request for a mortgaged loan modification. There are other options available to you if you do not qualify for a modification.