Saturday

6 - Tips for Negotiating a Loan Modification Successfully




Whether it be Banks or Lenders these lending institutions are impartial when it comes to your emotional request to get help with your mortgage when requesting a Loan Modification. So here are "6- Tips for Negotiating a Loan Modification Successfully" These 6-tips will ensure your success in being able to obtain the best possible Loan Modification terms.

#1. Know what you want and need?

This may be obvious to you, but will not be apparent to your lender. So you must take steps to communicate this fact with documentation to back you up. "What Do You Want?", the first thing that your lender will ask when you call in is "Can I Help You?" be prepared to answer with your request for a Loan Modification. Do your homework! what rate is best and payment for your present financial situation? If you are not sure do not contact the lender, because they will dictate to you there solution which may not be what you really need.

#2. Have a written proposal for your plan to pay off the loan

business is business, think as if your are the Bank and you loaned out the money to one of your friends or family, you would respect the fact that when they ran into trouble they came to you with a written plan of action versus on their knees and begging or giving excuses. "People help people who want to help themselves".

#3. If you think your employment income will increase ask for a forbearance or deferment.

A forbearance is an agreement or arrangement to postpone your monthly payments for a specified time or period to give you time to get caught up.

#4. If you have an ARM (Adjustable Rate Mortgage) have your documentation ready to backup your case.

be ready to show and tell your story of how the ARM increase has impacted your house hold finances and caused Hardship. This is usually written out and expressed in the form of a "Hardship Letter" this will be included in your Loan Modification Packet that you receive from your lender. To receive this packet you must request it from your Lenders "Mitigation Department", not customer service representative.

#5. When negotiating don't be confrontational

Begin discussing your situation as a polite, prepared and well versed Attorney, leaving aside any frustration, which could hurt your case. remember "Attitude is Everything" especially when you desire favor and want others to accommodate your request.

#6. Always have a plan B (a second option) for the lender

Your documentation will be your only weapon of defense so make sure your case is air tight. Use every situation and circumstance to your advantage as you document the things that have set your household back financially and what you anticipate it will take for you to get back on feet. If you are not able to sell your lender on your (Plan A) then have a (Plan B) ready just in case.

"Know that this is a great time to get a loan modification!"

Here is a recent article taken from CNN's "Money & MAIN ST."

55,000 helped by Obama mortgage rescue

By Tami Luhby, CNNMoney.com senior writer
Last Updated: May 14, 2009: 5:21 PM ET

Servicers are adjusting loans under Obama's foreclosure prevention program. The administration is expanding the program to help those that don't qualify for a modification.

NEW YORK (CNNMoney.com) -- More than 55,000 troubled homeowners have received loan modification offers under President Obama's foreclosure prevention program, officials said Thursday.

The administration also announced it was expanding the $75 billion program to assist more troubled borrowers. The government will provide incentives for servicers and borrowers to avoid foreclosure using methods such as short sales.

"These are critical steps in stemming the foreclosure crisis and stabilizing the housing market, both of which are critical to our economic recovery," said Treasury Secretary Tim Geithner.

to view more of this article go to: http://money.cnn.com/2009/05/14/news/economy/Obama_foreclosure_update/index.htm?section=money_topstories

Your Loan Modification Success all-in-all is a negotiating process!

There is no substitute for preparation use your financial sense when compiling together all the facts pertaining to your household financial situation. Remember to tell your story in the form of a "Hardship Letter", and back it up with your financial data "Facts". These tips will equip you to defend your case like an Attorney who is prepared to WIN! Learn how to do your own loan modification in 60 minutes click here to find out more


"Failing to plan is planning to fail"

"Alan Lakein"




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