Loan Modification

Legal Debt Solutions is a Professional Law Corporation that's here to help YOU! We strive for excellent results in protecting consumers and their rights and pride ourselves on giving our clients the personal attention they deserve.

We are a full service law firm with a diverse array of practice areas such as: Loan Modifications, Mortgage Fraud Litigation, and foreclosure help consultations (Short Sale and Deed in Lieu of foreclosure help). We take rapid, decisive legal action for people seeking to stop foreclosure, preserve their assets and credit ratings. We believe that real estate owners should evaluate all of their options and be advised of the legal consequences of the actions they may take before a property is lost to foreclosure.

As a last resort, we offer our clients the option of bankruptcy and information to protect their few remaining assets.

Our offices are based in California. Likewise, we have associated counsel based in Las Vegas, Nevada and New Orleans, Louisiana. Additionally, we are proud to offer services of affiliated counsel in New York, Florida and Texas.

Why should you consider a Loan Modification?

• Lower your mortgage payments
• Lower your interest rate
• Save your home from foreclosure
• Grant extensions on payments
• Reduce your loan balance
• Waive negatively accrued interest
• SAVE YOUR HOME

As many as 6 million families are expected to face foreclosure in the next several years

The severe and rapid decline in the economy and in the housing market has created devastating consequences for homeowners throughout the country. Millions of responsible families who make their monthly mortgage payments on time have seen their property values fall and as a result are now unable to refinance to lower mortgage rates. Meanwhile, millions of workers in this country are struggling to stay current on their mortgage payments after loosing their jobs or being forced to take a reduction in work hours. Over 5 million jobs have been lost in the past 14 months and millions of hard working families are now spending more than 40 or 50 percent of their income towards their monthly mortgage payment.

President Obama's Homeowner Affordability and Stability Plan (HASP) introduced earlier this year, offers assistance to over 7 million homeowners who are currently making a good-faith effort to stay current on their mortgage payments. HASP supports a recovery in the housing market by stabilizing home prices in communities hardest hit by foreclosures. The program brings lenders, servicers, borrowers, and the government together to share in the cost of restructuring mortgages so homeowners can afford their monthly mortgage payments.

Homeowner Stability Initiative offers reduced monthly payments for 3-4 million "at-risk" homeowners allowing them to continue paying off their mortgage and avoid foreclosure. The goal of this program is to reduce the amount that homeowners owe each month to a lower, more affordable amount. Under this initiative, loan servicers are required to reduce monthly mortgage payments to less than 38% of the borrower's income by restructuring or modifying the current loan. Anyone with a high combined mortgage debt compared to income or who is "upside down" on the mortgage may be eligible for a loan modification. Borrowers who are in adjustable or Subprime loans with high interest rates are also eligible. Mortgage loans can be modified by reducing the interest rate for a specified amount of time, extending the term of the loan (to 40 years instead of 30 years), and/or principle reductions. Servicers covering more than 75% of the loans in the country have begun modifications under Obama's Homeowner Affordability and Stability Plan. 2nd Lien Program

Millions of workers have lost their jobs or had their hours cut, are now struggling to stay current on their mortgage payments. In the next several years, as many as 6 million families will face foreclosure and millions more will struggle to keep up with the rising interest rate on their mortgages. Second liens contribute to those numbers of families who are unable to afford their housing payments. It is estimated that up to 50% of at-risk mortgages currently have second liens. The 2nd Lien Program offers homeowners a way to lower payments on their 2nd mortgage. This program coordinates with the first mortgage modification process to lower payments on 2nd liens, helping to keep more than a million Americans in their homes. In some cases, the servicer may accept a lump-sum payment from Treasury to eliminate some or all of a second lien. This program shares the costs with lenders who participate in reducing payments for homeowners with 2nd mortgages.

With all of the Government programs in place offering incentives to lenders, why do I need legal assistance with my loan modification?

It is true that there are financial incentives for lenders willing to modify mortgages. But, For a lender to be eligible for these incentives, they need only to OFFER assistance to the homeowner. By sending a letter to the homeowner, OFFERING to modify the mortgage, lenders have fulfilled their requirement and are then eligible for Government subsidizing. They do not actually have to follow thru with the loan modification.

Why can't I just apply by myself?

When a loan modification application is submitted by a homeowner, it is thoroughly reviewed to determine the profitability to the investor or the likelihood of loss. The "Net Present Value Test" is used to determine what will create more cash flow to the investor-Foreclosure or Modification. Their decision has nothing to do with what is in the best interest of the homeowner. It is solely based on what is more profitable to the investor. If modification is not in the economic interest of the investor, they will decline your application.

Our firm does not work for the investors. We work for you! We have YOUR BEST INTERESTS AT HEART.

Call now for a free quote: (877) 525-5090 or (818) 547-4357