Loan Modifications

The term "loan modification" refers to a readjusting of your current mortgage payment based upon your current income and the lenders modification guidelines. The Castle Law Group will take your specific situation and hardship, and negotiate with the lenders the best possible modification for you and your family.

In some cases, we have been able to negotiate rates as low as 1% for our clients and a reduction of principal amount due to the lender. There are several variables and laws involved in this process which is why it is important to have legal representation from a firm who is experienced to handle your modification.

A Loan Modification will change your existing mortgage note and give you a fresh new start in managing your mortgage payment. Your account will be brought up to date immediately and any outstanding fees and delinquent balances will be capitalized onto your principal balance.

Below are some common terms associated with a loan modification:

Interest Rate Reduction – We negotiate a lower interest rate for a certain length of time and over the same or different amortization period.

Principal Reduction – This is where we negotiate with the bank to lower your principal balance based upon the current appraised value.

Forbearance – We arrange with a lender a temporary stay of foreclosure and/or suspension of payments usually up to a period of 90 days in cases of serious illness, injury or temporary loss of employment.