Avoiding Foreclosure - Loan Modification, Part 2
Loan modification - Should you try it yourself, use a non-profit organization, or hire a professional?
We are not experts on this subject, but we talk with the experts a lot. So here’s some important information we want to pass on to you.
Anyone can work directly with their lender(s) and it costs you nothing. However, most of the people we know who have tried have been unsuccessful. Some have actually spent months talking with their lender only to have their home foreclosed upon anyway. This dispite the claim by the lender’s negotiator that the “modification proccess will put the foreclosure on hold”.
But as we said previously, lenders seem to be improving the process and their communication. So should you try it yourself or hire an expert negotiator to represent you?
First, gather all the paperwork you will need (most lenders web sites will help you with this information). If you are adept and successful at buying your own stocks, doing your own taxes (long form), etc., you might want to try it yourself. On the other hand, if you hire a professional to do these tasks then we recommend doing the same thing here. Trying to save some money here can cost you your home.
You can choose from; 1) non-profits and not-for-profits, 2) attorneys, 3) financial advisors. Be careful as this has become quite a fast growing cottage industry, so be sure you check with the BBB and attorney generals office web site, even if (especially if) they advertise they’re a non-profit.
