Ask Kate About Mortgage Loan Modification

by Jill from California USA

Ask Kate About Mortgage Loan Modification Can you clarify a couple of questions on mortgage loan modification? My hair dresser is upside down on her mortgage and considering a short sale. She thinks a loan modification is not possible for two reasons.

1-- Her bank, or any bank, will not modify her mortgage because she is "upside down" meaning mortgaged over and above the current appraised value of her property.

2-- She must hire a lawyer (the associated cost worries her) to get through all the issues since the bank won't make the process easy.

Can you point me to the specific place on your website that addresses these two issues on mortgage loan modification? I want to share this with my hairdresser.

Also, what is your opinion with respect to the two issues above, truth or myth?

Answers From Ask Kate About Mortgage Loan Modification

Hi Jill, "Worry is like a rocking chair. It will give you something to do but it won't get you anywhere." --Anonymous

Please ask your hairdresser to visit Is A Mortgage Loan Modification Easy which helps homeowners with decision making.

To answer your question... Banks and home loan institutions are currently modifying mortgages on properties with decreasing values and not making it mandatory to hire an attorney.

Best wishes to your hairdresser. I hope you'll both come back to my website again in the future. Of course, all of my information is free.

So remember to bookmark to your favorites and visit often for up to date tips for buying a house, mortgage news and refinancing advice.

You can also invite your hairdresser and other friends to comment on this page or create a page of their own like you did.

Best Wishes,

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P.S. Go to my Best Mortgage Rate Blog, an entertaining source of mortgage information. Subscribe now to the RSS feed.

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