Friday, June 2, 2017
If I Am Current On My Mortgage Is It Still A Good Idea To Modify?
A mortgage modification will lower your payments, and will also help if you are behind on your payments. A lot of homeowners who have fallen behind on their house payments are either in the middle of a foreclosure, or the lender is gearing up to start a foreclosure action. When that is the case, a modification can stop the foreclosure and get the borrower back on track with payments. But not all consumers who seek a modification of their mortgage are behind on their payments. There are plenty of instances where a homeowner is able to make their house payments, but still might want to have their mortgage modified. This is because the benefits of a modification can flow to all debtors, and who wouldn’t want to pay less for their house each month?
If you are current on your mortgage, it is still a good idea to ask the lender for a modification, and here are some reasons why:
• You may get to skip a month or two of payments once the modification is finalized, which will give you a chance to add to or start a savings account or an emergency fund.
• You will get a lower interest rate on your loan, which will give you a lower payment. Even if you are able to make a higher payment, a lower payment will save you money each month.
• You can continue to make the same payment you are making now, and in so doing have more of your monthly payment applied to the principal balance. This will reduce your overall loan balance faster, and allow you to pay off your house at a faster rate.
Everyone can benefit from a lower house payment, and there is no requirement that you be behind on payments or being foreclosed on to ask for a modification of your mortgage. If you are interested in saving money or paying off your house faster, think about asking for a modification of your mortgage. We can help you get started, can handle the intensive paperwork for you, and can make sure your lender responds on schedule.
For more information about managing your mortgage payment or asking for a modification, call us today or reach us online at www.law-ri.com. We will help by looking at the facts of your case and giving you options to reach your financial goals.