Disclaimer: These results should not be taken as a guarantee, as each case is unique. We have helped over 5,000 homeowners, here is one of their stories.
One recurring trend today is that many people who received loan modifications in the early stages of the Great Recession are attempting to get new loan modifications now. Oftentimes, these people received loan modifications before they experienced their worst hardship, and had no safety net when their hardship hit.
This happened to a homeowner who was faced with a dire situation. He was one of the first people to receive a loan modification from the HAMP program. Shortly after receiving his modification, harder times hit. The homeowner lost his job, and the family was only depending on his wife's salary for support. By the time the homeowner connected with us, he was several months past due on his $1,730 FHA mortgage payment, and had just been served foreclosure.
We began working on a legal defense for the homeowner, and also worked to get all his ducks in a row for a loan modification. We attempted to request a conciliation conference from his mortgage servicer, Flagstar, but were not successful because Flagstar was transferring the homeowner's account to Selene servicing. Our home retention department successfully obtained a trial loan modification for the homeowner (where a homeowner pays trial payments before being accepted for a full loan modification), but that wasn't the end; our lawyers had to delay a foreclosure sale date in court until after the full loan modification was granted.
In September 2013, the homeowner received a full loan modification from Selene. Under the new terms, his payment would drop to $1,070, a $660 drop. His interest rate was also dropped from 6.75% to a more manageable 5.50%. After this modification was cemented, our lawyers had the foreclosure dismissed in court, so that the home was no longer in foreclosure.
FHA/Selene Loan Modification Overview | |||
|---|---|---|---|
| September 2013 | Before | After | |
| Monthly Payment | $1730.46 | $1069.96 | |
| Interest Rate | 6.75% | 5.50% | |
| Foreclosure | 30 months past due, sale date set | Foreclosure case dismissed. | |
| Benefits to Homeowner | ✓ Threat of foreclosure averted, modification completed in only 3 months ✓ Monthly payment reduced by 38%, saving over $660.00 per month |
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Our goal at Amerihope Alliance Legal Services is to provide legal counsel to help homeowners avoid foreclosure and have a more secure financial future. Since 2008, we have helped over 5,000 homeowners save their homes, and we look forward to saving even more homes in the future.