Many homeowners are pinning their hopes on President Obama's Homeowner Stability and Affordability Plan.
The plan is believed to help many homeowners from losing their homes by stopping foreclosure. You have to qualify though. Not all homeowners are qualifying and despite the fact that loan modification is helping many homeowners to retain their homes, the program still appears to be very confusing for many. Loan modification is when you get one or more terms of your existing mortgage loan modified by your lender. If the lender agrees to your request, you may enjoy reduced interest rates. In
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Why isn't loan modification helping all homeowners? There are a couple of reasons why all homeowners are not being able to enjoy its benefits. As mentioned above, not all homeowners are clear about how the program works and they are also not aware of the eligibility criteria. So, most of the homeowners fail to understand whether they qualify for the program or not.
The loan modification program doesn't offer any incentive to the lenders for joining the program, early. Since the program is being offered for a limited time period, lenders may opt for getting on board quite late. In fact, lenders are paid a meager amount for modifying your loan terms. Loan modification scam The number of loan modification scammers is on the rise and many homeowners have been victimized for the same. One of the identifiable signs of loan modification includes when a company offering loan modification asks you to shell out extra fees if you have a second mortgage.
There are few instances when you are asked to transfer the title of your property to the loan modification company. You may be asked to leave your own house a couple of days later as they take possession of your property and sell it off for a higher price. Even though loan modification has helped many homeowners, it has certain drawbacks too. However, if you happen to qualify the benefits you enjoy are more than the drawbacks. You should be aware of the entire process and know how to go about it.
For more information on any home loan or real estate in Clarksville, contact our offices today. We are here to help you make the most informed decision on your investment.