If you are struggling to pay your mortgage because of financial hardship, it is important to know that you can stop Wyoming home foreclosure with a loan modification.
If you are struggling to pay your mortgage because of financial hardship, it is important to know that you can stop Wyoming home foreclosure with a loan modification. In some cases, your lender will have internal options for mortgage modification. Otherwise, you may qualify for help from the federal government or state programs.
What is Loan Modification?
Loan modification is when the terms of your original mortgage loan are modified to lower your mortgage payment. Many lending institutions are willing to alter the terms of your loan to help prevent your foreclosure. This process may involve lowering your interest rate, reducing your principal balance or changing your loan terms. Mortgage lenders’ programs and programs through Making Home Affordable (MHA), a U. S. Department of Housing and Urban Development program, offer these options if you qualify.
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Common Requirements
If you are interested in stopping foreclosure on your Wyoming home with loan modification, you should know the qualification requirements. In almost every case, you must prove financial hardship. Your hardship may be a reduced income, an increase in your home loan interest rate, a reduced home value or other personal factors. You will provide documentation to prove your financial hardship such as pay stubs, bank statements, tax returns and an explanation of your situation. If you apply for a home modification through MHA, you will submit these same documents and other information to your housing counselor.
Trial Period
Once you meet the requirements for loan modification your lender or HUD may instate a three-month trial period. The trial period ensures that you can now meet the financial obligations of the new terms of the loan. Once this trial period is over, the new terms become permanent and the threat of foreclosure is gone.
You may use Wyoming mortgage modification to prevent foreclosure and save your home. You can also stop foreclosure through programs that help you sell your home in pre-foreclosure, sell in a short sale or give the property back through a Deed-in-Lieu of foreclosure. If you decide to sell, you can find a real estate agent who specializes in pre-foreclosure sales at Reply!Â