• Stay in your home and help alleviate the stress of high mortgage payments
• Avoid mortgage foreclosure- a loan modification may reduce payments and help prevent a short sale or foreclosure
• Negotiate more affordable payments by reducing interest rates and/or extending the term
• Does not affect your credit as long as payments remain current. Update: We have been hearing that some lenders are reporting to credit agencies
• Lenders do not want to foreclose on your home – most will try to work with you

• Recent studies show that 52% of loan modifications have gone back into default
• 55% of loan modifications end up being at or higher than the current mortgage payment
• Typically, all back payments, late fees, legal fees and processing fees will be tacked onto the loan
• It's highly unlikely and extremely rare for principle to be reduced by a mortgage holder
• Negative effect on credit score if payments are missed  
• Time Consuming – Loan modifications may take an extended period of time and submitting an application does not mean that you will qualify for a loan modification

A Loan Modification Does Not Prevent Foreclosure...

Know that you are not alone.  We care and we want to help.  Many families in our area are facing difficult times with strained economic conditions. If you are worried about the future of your home ownership, there may be a better alternative than foreclosure or bankruptcy. These options, while not easy to undertake, can get you back to your normal life without the difficulties and consequences of foreclosure. Always know that everything we discuss with you will be kept strictly confidential so that you feel comfortable in the decisions you make and we will not share them with anyone without your expressed written consent.