How Do Loan Modifications Work?

Understanding Loan Modifications to Avoid Foreclosure

If you have been afraid of joining the millions of Americans that have fallen into the foreclosure process, it’s time to act now. The foreclosure crisis has hit hard in New York City. Some homeowners are only starting to learn about their options now. Here are a few tips on understanding the loan modification process and why it’s important to work with a professional who is experienced in dealing with one. Going through hardships are sometimes out of our hands, and to be displaced because of it is a tragedy. Premier Real Estate NYC has helped hundreds of homeowners in New York City climb out of the foreclosure process.

What Exactly is a Loan Modification?
Simply put, a loan modification is a way to make a homeowner’s mortgage more affordable. Interest rates, late fees, the length of the loan, and other processes are put into place to help with the monthly payments.

Do I Need Documentation to Submit with My Loan Modification Application?
Yes. Your lender will go into more detail with you. However, some of the documentation you should expect to have included your home valuation are the following: W2’s, bank statements, federal tax returns, and paycheck stubs. You’ll also need to prepare a hardship letter.

Having all the necessary paperwork and completing the application is key to being approved quickly. That is why many NYC residents turn to a specialist like, Premier Real Estate NYC, to help them complete the process.

What Value Can a Loan Modification Specialist Bring to the Table?
A loan modification specialist will not only help you complete your application, but see you through the end of the process. Should you not be eligible, they can help you with other options, such as a short sale. [Read more...]

How to avoid foreclosure in NYC? 3 tips to avoid a foreclosure

Tips on Completing a Successful Loan-Modification Instead of Foreclosure

Most residents in New York City are aware that staying away from foreclosures in NYC is the best thing to do. There was so much media attention on foreclosures, and short sales during the 2008 housing crisis, that we all know the pitfalls of a bad housing market. However, just because you know a few options that exist, does not mean you understand how to make them work successfully. One of the most well known options is to get a loan modification.

Since loan modifications adjust your current mortgage interest rate, and the duration of your loan, to name a few factors, the purpose is aimed at lowering your loan enough so you can comfortably pay it. Here are 3 tips to avoid your home from being another statistic in the foreclosure epidemic in the New York today. [Read more...]

Foreclosure in New York City

Purchasing a property is a huge responsibility. When you buy a property, you may be at a primetime moment in your life financially. Remember that life changes can mean changes to your financial situation. If you are not prepared for financial changes, this can lead to a foreclosure in New York City. Here are some life changes that can lead to foreclosure. In order to avoid this, remember to make the necessary plans and changes to your economic life.

Changing Jobs or Building a Business

Changing jobs can mean a change in income. Even if the income is relatively similar during a job switch, if there is any change in benefits, this may cost you. For example, if there is no 401k matching program or if there are not company health benefits available, you may be coming out of pocket more often. Building a business can mean putting a large sum of money into growing the business from the ground up. If you own a home, you must plan carefully for these two changes if you want to stay afloat and not end up like many during the 2008 housing-crisis. [Read more...]