A loan modification simply means to change or modify the terms of your original loan. There are several types of loan modifications that may be available to you depending on the type of loan you have, and who is holding your loan. In some cases this means having the payment reduced and/ or having some or all of the delinquent payments added to the end of your loan. Loan modifications are not automatic, so you will need to qualify to receive one.

A Forbearance agreement is an agreement you can make with your bank, but you have to qualify for it. This agreement usually runs for six to twelve months. The bank generally looks at the total payments you are behind and adds attorney, and other fees. They usually require an upfront payment then add a specific amount to your regular monthly mortgage payment until the agreement is over.  

This option is available if you have a decent amount of equity in your home. Basically you can enter into an Equity Partnering Agreement with us until the house is rehabbed and is sold to a buyer. Once all the expenses are paid then we will do Equity Sharing on the profit. 

This is a great option if the banks are unwilling to work with you. When in a Subject - To agreement  with us, the house will be deeded to us for an agreed upon amount. We will bring your payments current and keeping them current for the length of the agreement. This will relieve you of the monthly debt, help you build your credit, and avoid getting a foreclosure on your record.  

In most cases this is an option when there is no equity in the home. This is an option where we negotiate on your behalf with the bank or mortgage lender to accept a mortgage payoff amount for less than what is owed in order to faciliate a sale of the home when behind in payments.  

In this option it is best to contact an attorney to get this process started. This option is the reorganization of debt and will help you buy time to stay in your home and to eventually get your home short saled. 

In this option you give the deed to your house back to the bank. This sounds like a good option but it can cause issues later on down the road. In many cases the bank will put a foreclosure on your credit and they can send a 1099-C to the IRS for additional income if the bank sells your property for less than what you owed. In that case it could put you into a different tax bracket and require you to pay taxes on the home that you lost. 

Selling your home can be a good option if you have time, depending on when your sale date is and what the real estate market is currently doing. If you list your home with an agent it can take at least 30 to 45 days to close on the sale of your house. If it is going to take time to sell your house you may have to sell it for below market value or even the amount you owe on the house. 

Refinancing can be an option depending on how far away the sale date is. To refinance means to replace the current mortgage with one that has more favorable terms such as payment and interest rate. Depending on how many payments behind determines the loan to value percentage you can get out of your situation. 

To do nothing means you can play out the eviction process, you may call an attorney who specializes in evictions to try and stay in your home as long as possible. While you do this try to save money so when eviction day comes you can be prepared.