Short Sales and Loan Modifications
For those who are looking for a way out of foreclosure, but are not interested in keeping the home, the best solution may be a short sale. With a short sale, you will lose your home, but your mortgage company will agree not to hold you responsible for any remaining debt even if the home is sold for less than the balance of the mortgage. In some circumstances, you may be entitled to be paid for your relocation expenses which will assist you with the cost involved in moving.
For those who are looking to retain their homes, loan modification may be the best option to retain your home. Militzok & Levy has been able to successfully procure various types of mortgage modifications for our clients including, but not limited to:
- Lowering the monthly payments
- Reducing or modifying the interest rate
- Extending the term of the loan
- Reducing the principal balance
- Deferring delinquent money payments onto the end of loan
The biggest hurdle to obtain a loan modification is providing the large amount of paperwork typically required by mortgage companies. Our attorneys and skilled staff will work with clients on gathering financial documentation from the client so that the most compelling case for modification is presented to the lender. Our Firm also negotiates with lenders and strives to obtain the best possible modification for our clients.
Beware of any non-attorney who claims they can assist you in modifying your mortgage. The Foreclosure Rescue Act, Section 501.1377, Florida Statutes, went into effect October 1, 2008 and imposed restrictions on non-lawyer loan modifiers offering to protect distressed homeowners. Only a lawyer licensed in Florida can modify your loan. Non-lawyers are prohibited from doing so. These companies collect high fees and have a reputation for failing to deliver any real results for their clients.
An important part of our approach to mortgage modifications is our ability to vigorously defend a foreclosure action on behalf of our clients while simultaneously seeking a loan modification or short sale approval. This component is extremely important as merely pursing a short sale or loan modification without defending a foreclosure that has been filed could leave a borrower in a compromising legal predicament.
Contact Militzok & Levy today to schedule a short sale or loan modification consultation.