Many people are misguided by the thought that getting a loan modification can help them in rescuing themselves from foreclosure. An effective loan modification will surely help you in lowering down the payments of your mortgage thus making it affordable for you to put a stop to a foreclosure. Unfortunately, loan modifications rarely reduce your principle owed. Most of these completely ignore lowering the amount which is owed on the loan. They focus on reducing interest rate or term extensions. Another major reason for loan modification failure is that no matter what your arrearage is still going to be there and you will have to pay. Hence, it is far better to opt for a note buyer in order to save yourself from a foreclosure instead of applying for a loan modification.
Loan modifications can fail mainly due to the fact that your lender presents the notification in hidden terms and you may end up realizing that you are not eligible for it. In the industry today, many loan officers, ex-mortgage brokers and real estate agents that negotiate the loan modifications are not competent and may not provide you with full fledged guidance. On the other hand, when you decide to sell your property to a note or cash buyer you get plenty of opportunities that can rescue you from property foreclosure. These note buyers will make fast purchase of your property and have immediate acquisition on it. This means that you will be free of worry as your property will be closed and the foreclosure avoided. Good buyers will offer you with sufficient amount of time to move from your property before you hand it over to them.
Selling your property to such a company is exceptionally beneficial as they will buy mortgage notes from the bank directly. In this way, you will be saved from a deficiency judgment.
