Early Mortgage Payoff Refinancing in San Fernando Valley
There are Lenders specializing in providing you with a Loan Approval for less than what you owe to your present lender, due the reduction of home values. Once you are approved by these outside lenders, we take the Loan approval and present it to your current lender to accept a payoff for less than what you owe them.
It is just like refinancing your loan but for much less principal balance and more favorable terms.
However, in order to be qualified most of these lenders, including Federal Housing Association ("FHA"), require a minimum of 580 FICO Credit Score and for you to be current in your mortgage payment.
Why Would The Lender Agree to Receive Less Than What You Owe Them?
The answer is that your lender does not want to go through expensive foreclosure process and at the end sell the house at auction for much less than the loan amount anyway. If the lender cannot sell your home at the auction, then your home will become Bank owned or "REO" (Real Estate Owned by the Bank). Keep in mind that Banks are not in business of selling homes, and they eventually have to take a substantial loss. That is why your present lender will seriously consider our proposal along with a new loan approval.
Note: this option is available before your loan triggers the higher interest payment and before you fall behind in mortgage payments.
Nader & Berneman has established relationships with many of these types of lenders with new programs, including FHA Loans. Call today and you can discuss your situation with experienced loan agents at our offices.
Important Caveat: Many lenders are informing the Homeowners that they have to fall behind on their Mortgage Payment before the lender can consider a Loan Modification. THIS IS BAD ADVICE, when you can in fact obtain a new loan and pay off your lender with much less and fully satisfy your original loan obligation!
At Nader & Berneman, we are at the forefront of any new development created by lenders or Government in helping homeowners to keep their homes.
As with all legal options, you should seek qualified legal advice to stop loan foreclosure. When temporary financial difficulties are causing problems in your life, contact our Encino foreclosure attorney for a free consultation to explore options that can get you back on track.
NOTE: Your individual circumstances may or may not permit you to keep your house. Contact Nader & Berneman to explore ways to stop house foreclosure but retain your credit, or options to pursue lender litigation (foreclosure litigation).