In Missouri, property buyers must choose a fast action to avoid foreclosure. These legal actions could prevent major damage to their credit score and lower the full impact of overdue payments. A couple frequent questions clients ask a foreclosure lawyer in St. Louis, MO can be found here.
For What Reasons Can Consumers Get a Loan Modification?
First, consumers qualify for a mortgage loan modification based on an economic hardship. These circumstances could arise due to job loss or sudden reductions in pay. The death of a spouse who provides their primary source of income is also a valid hardship.
Next, an inability to pay the mortgage also presents a valid reason for a modification. If the consumer incurs a pay decrease and cannot afford the payments, the loan modification can provide them with a lower payment. However, if the attorney finds any terms that considered predatory, they can enforce federal laws through these modifications.
Finally, what is considered an underwater mortgage could prevent foreclosure. This indicates that the owner doesn’t have any equity in the home or its value has decreased significantly. These conditions could prove fruitless if the bank attempts to sell it after foreclosure.
What Other Options Does the Consumer Have If They Cannot Get a Modification?
Consumers who cannot acquire a loan modification have two alternative options. They could sell the property through a short sale. This enables them to sell the property for what they owe when possible. However, if they don’t acquire the full amount they owe, they remain responsible for any outstanding balance.
The second option is known as deed in lieu of foreclosure. This process enables the owner to sign over the deed to their lender instead of undergoing the foreclosure process. The process eliminates any additional costs related to the mortgage.
In Missouri, property buyers have several options for avoiding foreclosure. They could qualify for a loan modification or sell the property. The attorney helps consumers choose the appropriate action based on their circumstances. These circumstances could equate to a pay decrease, job loss, or an inability to pay the debt. Consumers who need help from a foreclosure lawyer in St. Louis, MO visit Stlbankruptcyfirm.com for more details today.