Mortgage Foreclosure and Modifications FAQ's
Top Bankruptcy Attorneys and Home Foreclosure Defense Attorneys.
Over 750 ★★★★★ Google Reviews
Contact Our Attorneys Today
Mortgage Foreclosure and Modifications FAQ’s
Mortgage modifications can help reduce the interest rate on the loan as well as monthly mortgage payments. This may result in a lengthened repayment period, but it can prevent foreclosure proceedings when borrowers fall behind on their payments.
Mortgage foreclosure defense is done in 3 different ways: Chapter 13 Bankruptcy, State Court litigation, or Mortgage Modification. Chapter 13 Bankruptcy stops the foreclosure immediately while giving the borrower 3-5 years to repay the amount they owe. State Court litigation may be employed if the homeowner has a meritorious defense that can help them remain in their home. Mortgage Modifications may help lower the interest rate and extend the mortgage payment term.
Different from a modification, a pre-foreclosure forbearance plan does not alter the overall terms of the loan. It is typically extended up to 6 months and requires the borrower to make regular monthly mortgage payments plus the amount necessary to cure all debts within the agreed time period.