What Is Loan Modification?

According to the U.S. Department of Housing and Urban Development (HUD), loan modification is “a permanent change in one or more of the terms of a Borrower’s loan, allows the loan to be reinstated, and results in a payment the Borrower can afford.”

The loan modification lawyers at Penachio Malara, LLP, enjoy a long working relationship with many banks throughout New York State. We have the expertise to negotiate loan modification agreements that can avoid foreclosure, preserve equity, and keep you in your home.

We can reduce your mortgage debt by securing more favorable interest rates, negotiating payment extensions, working out balance reductions, getting the term of your mortgage extended, substituting fixed interest rates for adjustable rates, getting accrued interest waived, and using other strategies to lower your monthly payments.

What Are Short Sales?

A short sale is an alternative to loan modification that can occur when the value of your home is worth less than what you owe. If you decide to get out from under, a short sales attorney can work with your lender to discount the balance of your home loan to reflect market value. Then the home can be sold, the proceeds paid to the lender, and the debt balance written off.