Duane Duggan's Real Estate Blog

I have had many inquiries about the possibility of modifying mortgage loans.  A loan modification is the changing of terms of the loan, such as the interest rate. When a lender has to go all the way through a foreclosure process, it gets very expensive.  To lower the interest or adjust the payment structure can be must more cost effective for all parties.  Like short sales, lenders will generally want some sort of "hardship letter" stating why the borrower can no longer make the payment.  Every week, the mortgage and financial world changes. Here is a link to a great article that was send to me on mortgage modifications.   http://www.usnews.com/articles/business/real-estate/2009/03/04/obamas-loan-modification-plan-7-things-you-need-to-know.html?PageNr=2