Mortgage Modification Information

Mortgage modification in Columbus and Central Ohio is a process whereby a lender adjusts the terms of a loan without a new loan being created. Often the adjustment of the terms includes a reduction in the interest rate and additional time to repay the balance due. These changes often result in reduced monthly mortgage payments. Mortgage modification can also be used to cure a mortgage payment arrearage, and bring the homeowners mortgage payments up to-date. In today’s difficult economic climate when so many Ohio homeowners are struggling to make their mortgage payments, this process can be vital tool, allowing many Ohio homeowners to better afford their mortgage payments or to save their home from foreclosure sale.

The process to obtain a mortgage modification varies among mortgage lenders. But, most lenders accept the Home Affordable Modification Program (HAMP). This program allows a person to apply to any mortgage company using a universal form.

Even using the HAMP Program, each mortgage lender will still requires a proprietary set of information and documentation to accompany each application. Also, every mortgage lender will evaluate the mortgage modification application and supporting documentation differently. Navigating this process can be very difficult and frustrating for consumers, because it requires a lot of follow-up and patience.

The most important thing to remember is to be persistent. Making weekly status calls to the mortgage lender no less than once a week to check on the status of your application is a minimum requirement. Also, you must be able to fax or e-mail requested documents immediately in order not to miss deadlines set by the lender. Making what sometimes may feel like repeative requests for information and meeting short deadline can be a trying and painstakingly slow process. But the results can be more than worth it.

For example a mortgage that is two years old with a balance of $150,000.00 at a 6% interest rate could see an average monthly savings of $212.93 and an overall savings of $53,423.43.

A home mortgage modification could be something that could save you from having to file bankruptcy, or speed you along your way to a faster financial recovery. Please, if you have questions contact my office at 614-294-5040 or 1-800-838-1999.