Home Loan Modifications

It is no secret that Nevada has been at the epicenter of the nation’s financial crisis. Moreover, for Nevadans, the foreclosure crisis is something most residents have experienced firsthand. As a result, many homeowners are turning to their lender for help, and lenders are arguably becoming more responsive. When a homeowner reaches out to their lender, they are often screened for more than one workout option, either through a government or internal program. So what is the trending workout option right now: home loan modifications. A home loan modification is an adjustment to a homeowner’s current loan contract that is intended to make mortgage payments more affordable for homeowners facing financial hardship.

Home loan modification terms are issued on a case by case basis. Some lenders and investors will lower the interest rate and extend the life of the loan in order to make the homeowner’s payments more affordable, while others will defer some principal balance in order to get the homeowner to an affordable payment. If the lender determines that you do not qualify for a loan modification, they will often times screen you for any other alternatives, including but not limited to, forbearance, short sale, or deed in lieu.

If you are facing financial hardship and are in default or at risk of defaulting on your mortgage payment, you may qualify for assistance! We understand that this process can be stressful and does not always occur timely. This is why Financial Guidance Center, a HUD approved counseling agency that has been serving Nevada for over 40 years, is here to help. FGC provides FREE counseling and assistance in preparing and submitting a workout assistance application to your lender and/or investor. For more information or to schedule an appointment, please call Financial Guidance Center at 775-337-6363.