These days, the housing market is flooded with different opportunities for home owners to alter their current mortgage situations. Along with the downturn of the housing market came the government bailout. Then mortgage companies started different programs to help the public with the situation.
Loan Modifications, Short Sales and Short Refinancing are available to assist home owners in preventing the loss of their homes. The differences in these programs allow most homeowners to select the one that is correct for them and utilize that program to help with their specific situation. Here is information to help you decide which mortgage plan is best for you.
Lets take a look at the differences in these mortgage terms and try to determine which would be best for you.
A Short Sale is not exactly a short process. For example, a Short Sale may take three to four months before it is complete. There are basically four phases to the Short Sale process. 1) Setup 2) Value Assessment 3) Negotiations 4) Settlement
A Loan Modification is not actually a short refinance or a refinance at all. Loan Modifications are modifications of your existing mortgage agreement to allow you to be able to afford and keep your home. There are no closing costs or bank fees with a Loan Modification.
Short Refinance is when a mortgage company will negotiate with your lender to accept a reduced payoff in order to refinance your home into a new mortgage. The payoff has to come in under current appraised value, so you can qualify for the new loan. This means you will have equity in your home at the end of the process. The Short Refinance process normally takes about 4 months.
If your in a situation where you are considering a Loan Modification, Short Sale or Short Refinance, contact a mortgage company and ask what program would be best for your situation. Keeping your home is very important and so selecting the correct mortgage program is a priority for you.
Loan Modifications, Short Sales and Short Refinancing are available to assist home owners in preventing the loss of their homes. The differences in these programs allow most homeowners to select the one that is correct for them and utilize that program to help with their specific situation. Here is information to help you decide which mortgage plan is best for you.
Lets take a look at the differences in these mortgage terms and try to determine which would be best for you.
A Short Sale is not exactly a short process. For example, a Short Sale may take three to four months before it is complete. There are basically four phases to the Short Sale process. 1) Setup 2) Value Assessment 3) Negotiations 4) Settlement
A Loan Modification is not actually a short refinance or a refinance at all. Loan Modifications are modifications of your existing mortgage agreement to allow you to be able to afford and keep your home. There are no closing costs or bank fees with a Loan Modification.
Short Refinance is when a mortgage company will negotiate with your lender to accept a reduced payoff in order to refinance your home into a new mortgage. The payoff has to come in under current appraised value, so you can qualify for the new loan. This means you will have equity in your home at the end of the process. The Short Refinance process normally takes about 4 months.
If your in a situation where you are considering a Loan Modification, Short Sale or Short Refinance, contact a mortgage company and ask what program would be best for your situation. Keeping your home is very important and so selecting the correct mortgage program is a priority for you.
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