Remember that when you are served with a foreclosure lawsuit, you have been sued and you need a competent foreclosure defense attorney to defend you vigorously in Court. There are many Court documents that need to be filed, hearings that need to be attended. If you do not mount a vigorous defense in Court, the bank will get a foreclosure judgment against you and sell your home. Our firm is comfortable in the courtroom and has beat the bank in many foreclosure trials. Remember that even if you wish to explore one of the options below, you will still need an attorney to defend you in Court. At our firm, we engage in foreclosure defense litigation to protect your interests and at the same time, try to achieve a resolution of the case that works for you. If you have a viable defense and wish to try your case, we will not hesitate to lead that battle for you and try your case on the merits.
Mortgage Modifications
Loan modification offers several benefits for the homeowner. The most important benefit is that, if approved, you can avoid a foreclosure on your property. You can also reduce your interest rate and switch to a fixed rate of interest from a fluctuating rate through mortgage modification. In order to get the most benefit, you should be fully aware of the modification process and what it entails.
Loan Modification Process
The loan modification process usually begins with a phone call or online inquiry to your lender. You should be honest about your circumstances and explain why it is difficult for you to make your mortgage payments on time.
Lenders have an incentive to approve loan workouts such as modifications because banks and mortgage lenders are in the business of making money, not maintaining foreclosed properties. The key question the lender will have is whether you currently have the income to justify the modified payment, meaning “if your lender reduces your payment to a certain amount, can you afford it with your current income?” Lenders do not want to approve a homeowner for a modification they cannot afford. This just delays the process and set up the homeowner for failure.
You should also let your lender know about the proposed adjustment to the mortgage. It is strongly recommended you always hire legal counsel, who can take these steps on your behalf.
It is also important for homeowners to remember that if you are attempting to obtain a loan modification, the lender may very well come through and attempt to foreclose on your home during the process. Many homeowners have been under the mistaken impression that since they are trying to work it all out with the bank, that the bank will not begin foreclosure proceedings. Even if you are currently in the process of attempting to obtain a loan modification, if you are served with a foreclosure lawsuit, you still must respond to the lawsuit and assert your legal defenses.
There are many different factors to consider in a foreclosure defense case, and much of it depends on the particular goals of the client. Here at Thompson Family Firm, we listen to you explain your goals and we then adopt a legal strategy that will best help to achieve those objectives.
We are here for you! If you are looking for a strong defense against a foreclosure action, please contact us.