Getting Up to Speed
on Loan Modification:
When facing the real possibility of losing your home, shifting into panic mode is far too easy and destructive. In a state of panic, you’re vulnerable to making the wrong decisions, saying the wrong things, or falling victim to con artists who prey on people who aren’t thinking clearly.
In this part, we encourage you to slow down and take a deep breath as you venture into the territory of loan modifications. We introduce you to the loan modification concept, show you how to take stock of your situation (it may not be as bad as you think it is), reveal several options for avoiding foreclosure (after all, loan modification is just one of the options out there), and provide you with the information you need to decide whether you want to work with a loan modification specialist or go it alone.
Kick-Starting the Process:
Applying for a Loan Modification :
Obtaining a loan modification is like getting a job you have to apply for it first, and if your application is lousy, you don’t even get an interview. In this part, we show you how to prepare an impeccable loan modification application that meets or, even better, exceeds your lender’s expectations and then submit it so it lands on the right person’s desk. We show you how to contact your lender; gather the facts, figures, and documentation needed to prepare your application; figure out the types of modifications you want to request from your lender; prepare and submit your application; and follow up to ensure that your application doesn’t get lost in the shuffle.
Hammering Out the
Details with Your Lender :
After most lenders receive and approve a request for a loan modification, they pitch an offer. Many homeowners see this as the end of a long process, but it’s actually just the beginning of the end. You can now negotiate with the lender for a more attractive deal. In this part, we show you how to explore different loan modification adjustments with your lender, how to evaluate your lender’s initial offer and spot common red flags, and how to negotiate a better, more affordable loan modification.
Dealing with an
Uncooperative Lender :
Lenders are beginning to “get it.” They’re beginning to grasp the magnitude of the problem they helped create and the magnitude of their potential losses if they choose not to modify troubled mortgages. However, every crisis has a few holdouts reluctant to make concessions. If you lock horns with your lender, you may be able to apply some legal pressure to prod your lender into action. In this part, we reveal lending laws designed to protect consumers, show you how to audit your loan to uncover possible violations, and provide tips on how to use proof of violations to convince your lender to modify your mortgage loan.
The Part of Tens :
Every For Dummies title comes with a Part of Tens, which contains strategies, tips, tricks, or other important items. In Loan Modification For Dummies, the Part of Tens offers ten tips for long-term success to help you avoid falling into the foreclosure trap again and ten common myths about loan modification that we bust wide open.