Mortgage Modifications
Mortgage Modification Under The New Federal Laws
The federal government has provided several programs, including mandatory mortgage modification programs, for home owners and tenants. Found in the "The Helping Families Save Their Homes Act of 2009" and related legislation, the purpose of these laws is to help homeowner or tenant keep their homes. Most of these programs require that the homeowner BE CURRENT on their mortgage or rent to qualify. Even the ones that do not require that the mortgage be current often require that defaults be very controlled. SIMPLY DO NOT BELIEVE ANY MORTGAGE COMPANY OR BANK THAT TELLS YOU THAT IN ORDER TO QUALIFY FOR A MORTGAGE MODIFICATION YOU NEED TO BE IN DEFAULT OR THAT "ITS OK" TO DEFAULT ON A FEW PAYMENTS WHILE THE PAPERWORK IS FINISHED. Neighborhood Law Office can assit you in finding a mortgage modification program, or reviewing the paperwork that you have received concerning a modification. NLO DOES NOT OFFER LOAN MODIFICATIONS -- we are a law firm, we will help you understand and complete forms from the federal government or those provided to you by your bank or lender.
DO NOT WAIT to plan for a default if you believe that one is coming for your family. PLAN AHEAD. Good prior planning may well be the difference between surviving this depression and becoming destitute. According to the California Attorney General, "Unscrupulous loan modification consultants exploit homeowners' desperation to stay in their homes. Though they would be better served speaking to an attorney about a loan modification or bankruptcy, homeowners are enchanted by consultants' promises, which end up being too good to be true. Consultants attract homeowners with promises of being able to save their homes. These consultants ask for money upfront, mortgage payments to be paid to them, or for the homeowner to transfer title to them. Thinking that the consultants are taking care of the bank, the homeowner ignores the bank notices and doesn't realize that the consultant has taken their money and not fixed anything until it's too late."
NOTICE. NEIGHBORHOOD LAW OFFICE DOES NOT ENGAGE IN LOAN MODIFICATION NOR DOES NEIGHBORHOOD LAW OFFICE PROVIDE LOANS. "DEBT RESTRUCTURING" AND "LOAN MODIFICATION" INVOLVE, ACCORDING TO THE CALIFORNIA STATE LEGISLATURE, IS DESCRIBED AS: "These foreclosure consultants, however, often charge high fees, the payment of which is often secured by a deed of trust on the residence to be saved, and perform no service or essentially a worthless service. Homeowners, relying on the foreclosure consultants’ promises of help, take no other action, are diverted from lawful businesses which could render beneficial services, and often lose their homes, sometimes to the foreclosure consultants who purchase homes at a fraction of their value before the sale. Vulnerable homeowners are increasingly relying on the services of foreclosure consultants who advise the homeowner that the foreclosure consultant can obtain the remaining funds from the foreclosure sale if the homeowner executes an assignment of the surplus, a deed, or a power of attorney in favor of the foreclosure consultant. This results in the homeowner paying an exorbitant fee for a service when the homeowner could have obtained the remaining funds from a trustee’s sale from the trustee directly for a minimal cost if the homeowner had consulted legal counsel or had sufficient time to receive notices from the trustee {...}regarding how and where to make a claim for excess proceeds."
NEIGHBORHOOD LAW OFFICE IS NOT A FORECLOSURE CONSULTANT. OUR SERVICES ARE LIMITED TO THOSE TRADITIONALLY PERFORMED BY ATTORNEYS -- THE EXPLAINATION OF THE LAW AND FORMS TO THE CLIENT AND HELPING THE CLIENT UNDERSTAND THEIR OPTIONS, MAKING RECOMMENDATIONS TO THE CLIENT ABOUT THE PROBABLY EFFECTS OF DIFFERENT OPTIONS, AND ASSISTING THE CLIENT WITH THE FILING OF PROPER PAPERWORK WITH THE PROPER ORGANIZATION OR ENTITY. NEIGHBORHOOD LAW OFFICE IS NEVER PAID BY A PERCENTAGE OR FEE CALCULATED BASED ON THE ORIGINAL LOAN, THE MODIFICATION ACHIEVED, OR ANY OTHER VARIABLE. NEIGHBORHOOD LAW OFFICE IS PAID ONLY A FLAT FEE CHARGED TO ALL CLIENTS FOR THE SAME SERVICES, DETERMINED AND AGREED UPON IN ADVANCE. ATTORNEYS DO NOT EARN THEIR FEES UNTIL THEY COMPLETE YOUR WORK.
