Asking for a loan modification is a difficult process that takes a lot of time and patience. Consult a Miami foreclosure attorney to make sure you reach as fair an agreement as possible with your bank. You just want a fair deal, but your bank wants you to pay as much as possible. An attorney can help protect your interests and challenge the bank if they are offering an unfair deal. Educating yourself is important, and the following tips will help you avoid some pitfalls in Florida Loan modification.
- After all your paper work is in; it may take your bank several months to make a decision. Try to keep busy with everyday life; there is no way to speed the process up. If you are at risk for foreclosure in Miami, the process will go a bit quicker because banks process based upon urgency.
- Do not forget applying for a loan modification means you are asking for a favor from your lender. A quick temper will get you nowhere and may cause you to lose your home.
- Do not expect too much. The deal that you think is fair is not going to be the same as what your bank thinks is fair. You want to pay as little money as you can but the bank wants you to pay as much as possible. High expectations will only leave you disappointed.
- Keep your hardship letter straight and to the point. You want your lender to identify with you and understand your situation, but do not whine or complain. The letter should be approximately a page long and state why you are struggling to pay (a car accident that put you out of work for a few months, for example) and what new terms you would like.
- Make sure the agreement is something that you can realistically pay over the long term. If you were in an accident that kept you from working for a few months but are now working again, forbearance may forgive a few months of missed payments by adding them to the end of the pay period. If you received a huge pay cut, you probably need the payments lower every month. Make sure your new terms will work for you for the foreseeable future.
- On your expense report you must be honest and reasonable. Inflating your expenses does not help address the real problem – you need to cut back if you want to keep your home. Lying about your income could cause your request to be denied, or result in a deal that you cannot afford in the long run.
- Be honest with yourself about your role in the situation. Your situation may not be your fault, but expressing this to your mortgage company will not help you. You situation is what it is. A loan modification is a way to move on with your financial life.