The Truth About Mortgage Modifications
While mortgage modifcations can be an ideal solution for homeowners who qualify, it
is important to understand the current trends concerning mortgage modification success
rates. According to the most recent MHA report, only 12% of eligible homeowners have
started a modification. The provider of this report understands that to increase this statistic,
more homeowners need to find out if they are eligible and apply.
Also, a mortgage modification is primarily for those who can almost make their payments
each month, but not quite. If you or someone you know is one of the many homeowners
facing certain financial hardships—such as unemployment, forced relocation or divorce—you are less likely
to qualify. The current re-default rate on mortgage modifi cations is 50–60%. Find out the facts, apply for a
solution, but have a contingency plan. It is important to explore all of your options, and an educated real
estate agent can help.
HAVING A PLAN
Setting goals and keeping updated records will streamline your process to success and
recovery. It will also save you time, hassle and distress when making plans for your
If a mortgage modification isn’t an option for you, a short sale might be. It’s understandable
if you’ve never heard of a short sale or don’t know what one entails, but imperative that
your agent is educated and experienced in this area.
Solutions are out there to ease your financial strain. Be sure to take advantage of all the options
available. You can take back control of your financial future. Get all the facts regarding your situation, let a
qualified agent help you formulate a plan, and get back on the right track.