Renegotiating Your Mortgage
Sometimes the terms of your mortgage become wholly unmanageable due to changes in circumstance or uncritical lending standards. Many people can no longer meet their mortgages after they lose their job or incur an unexpected expense. In some cases, the bank raises the mortgage rate so much, and so suddenly, that homeowners struggle to adapt. In these cases, the best way to avoid eventual default and foreclosure is to try to renegotiate the terms of your mortgage with your bank or lending institution.
Not all banks are willing to negotiate with borrowers. Some would rather foreclose and resell the property than to take any loss on the terms of the mortgage. But others are more flexible and may be willing to take steps to help you prevent a foreclosure action. Some ways that people modify their mortgage include:
- Lengthening the term of repayment
- Changing the interest rate
- Refinancing into a new kind of loan
- Acknowledging a temporary hardship such as an illness or accident
You should begin negotiations with your lending institution as soon as you recognize that you will likely have to miss a mortgage payment. The sooner you start the negotiation process, the better. But even if you wait until you are in arrears and your bank sends a foreclosure notice, negotiation may be possible. At any stage, hiring an attorney can help to promote fair negotiations which ensure that your interests are represented.
Contact Us
An experienced lawyer can be very helpful to families facing possible foreclosure. At Eric N. Klein & Associates, P.A., we represent our clients’ interests in negotiations with banks. Our knowledgeable and experienced Florida mortgage negotiation attorneys may be able to help you as well. Contact us today by calling 561-353-2800.
