While the prospect of a loan modification may make your financial picture a little less bleak, don’t make it so that it is your only option left on the table. It is never a good idea to put “all of your eggs in one basket” and in the case of a mortgage modification for your last resort this old adage remains true. So, what are your other alternative loan modification options if you don’t qualify for modification of your mortgage?
While it may seem as though this is your only way out, this is not true. If you have taken the well thought out action of hiring an attorney to help you with your mortgage modification you have done something very beneficial to serve you as a plan b in the mean time.
If your mortgage modification gets hung up or eliminated as an option altogether it is possible that your attorney could arrange a short sale of your home to help you get out of the property. A short sale on a house is when you quickly list and sell the home for less than the value and give all of the proceeds to your lender in return for release from the terms of the mortgage. This can also be called a form of "debt settlement" as the lender agrees to take the proceeds from the sale and forgive the difference between the sales price and what you owe.
A short sale to payoff your mortgage is only one of the options or ideas your attorney may have to get you out of this jam. It is definitely worth talking to your attorney to get ideas to avoid the trap of a loan modification being the only way out.
Don’t waste any more time worrying about how to pay your mortgage, contact us today by phone at 813-612-5697 or 877-246-4486 or by email at sales@tsherwoodlaw.com.
