The majority of homeowners get intimidated when it’s time to refinance their home because they want to make sure that they are not getting ripped off by a mortgage broker who tries to charge as much as he can to achieve a higher commission. The same can be said for when it is time to buy a new car. These are times in people’s lives that they don’t usually look forward to because they are stepping out of their comfort zone.
Recently, our Government has come out with a new modification program HAMP that was designed for homeowners to receive help in lowering their mortgage payments without the use of a third party. This is another program that creates anxiety for the homeowner who does not typically know how the process works so in many cases they will hire someone to do it for them. Attorney’s and loan modification companies have popped up everywhere doing modifications and charging high fees to do so. Loan modifications are simple and these companies are charging big bucks to do them and not necessarily giving people the results they want.
We live in a society where we want things done right now and we love services that make our lives easier. I believe that a loan modification is something that needs to be done right because you will be the one making the mortgage payments for the next 30 years. And when you want things done right, you should do them yourself.
To get a loan modification you will need to be able to get the modification application and fill it out. How hard could it possibly be to read an application and answer personal questions about yourself? Well, it is not that difficult to fill out the application but the whole idea is to fill it out in such a way that best benefits your situation. The hardest part and most important part is to fill out the application in a way that gets you approved.
There are many resources out on the internet that claim they can teach you how to get your mortgage modified but I would be wary unless they can prove their teachings by showing actual results. The same holds true for attorneys and modification companies that say they have gotten great results but will not be able to guarantee you anything other than, “we’ll do our best”. Talk is cheap but the money you will spend on an attorney is not!
In brief, attorneys and modification companies will sell you on the idea of them getting others great results and they won’t be able to guarantee you anything. Personally, I would have a hard time giving them $3,000 of my hard earned money with the possibility of getting nothing in return. Why not educate yourself and file the three page application yourself?
This article is the second of a Do-It-Yourself approach to home loan modifications. Check back often or subscribe to this site to stay tuned for the next article in this series, designed to help you complete a loan modification on your own, cutting out the middle man, helping you protect your ability to stay in your home for the best price possible, and helping you lower your payments as much as possible. After all, nobody will look out for you as well as you can look out for yourself.