Late mortgage payments or not making mortgage payments at all is very common for homeowners in today's economy. Struggling to make mortgage payments may mean you are in some kind of financial hardship and can qualify for a mortgage loan modification. A financial hardship may include temporary job loss, medical issues, divorce or an increase in your mortgage payments due to an adjustment in your payment rate. Many homeowners are experiencing payment increases as much as 40% when they reach an adjustment period under an Adjustable Rate Mortgage. These adjustments can happen gradually over many years or smack homeowners in the face at one time and send them spiraling into debt.
Increases in mortgage payments are not sudden, in fact they are outlined from the time you closed on your mortgage loan. Just like most things in life we do not think about them until they arrive and a higher mortgage payment can throw any budget into a tailspin. Most homeownership advocates will tell you that Adjustable Rate Mortgages were handed out left and right to sub prime borrowers that may of not been ready for a home loan in the first place. Putting a home buyer into a mortgage that the mortgage broker and lender know a homeowner can not afford after it adjust is considered predatory lending. Victims of predatory lending have rights and can seek assistance through loan modification and loan audits.
Loan modification can help homeowners struggling to make their mortgage payments. Loan modification or mortgage modification can modify the terms of your loan, lowering your mortgage rate to a level you can afford. Adjustable rate mortgage loan modification is very common due to the high level in which these loans were sold to poor credit home buyers.
Making late mortgage payments will lower your credit scores, keep you in a cycle of debt and eventually lead to foreclosure. You do not have to struggle with high mortgage payments and rates if you feel you are a good candidate for loan modification.
