Every marriage is not meant to last forever. No matter what the reasoning behind the divorce, it is important to have legal representation for each side. I almost lost everything because my former spouse said that he was taking care of things and that he would be fair about how the assets were divided. It took several weeks for me to find out what he was up to. It was then that I hired my own attorney and got what I deserved. You should never attempt to go through a divorce without a lawyer working on your side. On my site, I have listed several of the issues that can get overlooked if you are inexperienced with divorce documents and proceedings.
If you are behind on your mortgage loan payments, you may be worried about losing your home to foreclosure. However, there may still be some options available to help you save your home. Lenders may offer some modification plans to help you change the terms of your mortgage to make your payments more affordable. An attorney can help you determine the best route to take to help you keep your home. Here are some things you need to know about mortgage loan modifications:
Should You Apply for a Modification?
If you cannot make your mortgage payment each month, you can request a modification from your lender. Before you make this decision, however, you need to think about any possible implications that come along with a modification. First, make sure you can afford the new payments offered through a modification. Your lender will evaluate your debt-to-income ratio when they decide if you qualify for a mortgage modification. Think about your other bills and debts you have to pay each month. If those debts are too high, you may not qualify or you may find the offer provided by your lender is still not affordable for you.
To qualify for a mortgage modification, you need to be behind on your mortgage. You may think that intentionally halting your mortgage payments will help you qualify for a mortgage modification. However, modifications can take months before they are approved or even considered. If you are ultimately denied, you are then stuck with late payments. Your lender could demand full payment of the late payments in order to prevent foreclosure.
Also, think about if the modification terms offered to you are fair. The payments may be better for you, but look at the overall terms. You may find that you are ultimately going to pay more for your home if the payments are extended over a longer period of time, forcing you to pay more in interest.
Are There Other Options?
If you think a loan modification is not best for you or if you are denied, your other option is to file for bankruptcy. However, bankruptcy has long-lasting impacts on your credit and can make it more difficult to build credit in the future.
No matter what you decide, you need to take some action to save your home from foreclosure. Work with your attorney to help come up with the best plan of action to keep your home.