Posted On: November 22, 2010
Jacksonville Foreclosure Attorney Outlines What Homeowners Need to Know About Loan Modifications
One Florida foreclosure lawyer says that the state’s high foreclosure rates and record number of distressed homeowners have attracted a booming new business in Florida: loan modification scams.If a loan modification company offers to negotiate with your lender to get your mortgage modified for an upfront fee, be extremely cautious! Many simply take the money and never even contact the lender.
If you are trying to avoid foreclosure by obtaining a loan modification, here are some guidelines that will help you determine if you qualify:
- Your home must be an owner-occupied, single family home.
- Your home must be a primary residence.
- Your home must be occupied, not vacant or condemned.
- Your primary mortgage must be less than $729,750 to qualify for federal loan modification assistance.
- You have a monthly housing expense-to-income ratio greater than 31 percent of your gross monthly income.
The federal government’s Home Affordable Modification Program (HAMP) was designed specifically to help homeowners, not investors, be able to stay in their homes through loan modification assistance. The HAMP program is slated to end by December 31, 2012.
For more information on how to defend yourself against possible foreclosure, contact our Jacksonville, Florida foreclosure law firm.
Greg Gilbert
Keith Maynard
