For many people who are behind on their mortgage payments, a repayment plan could be a great solution. With a repayment plan, you’ll be able to get back on track with your mortgage, and avoid the possibility of a foreclosure. At Foreclosure Attorney in Westchester NY, we provide a number of services for those who are in a dire financial situation, and while it’s obvious that anybody in a situation where they need to look at a repayment plan is not doing amazingly well, it’s also true that you need to be in a stronger financial situation than those who are looking at the possibility of forbearance, or even a short sale. We’ll work with you and your mortgage servicer (as well as lender) to come up with a repayment plan that works for everybody.
What is a Repayment Plan?
A mortgage repayment plan is where you make arrangements to catch up with your missed mortgage payments over time, while at the same time staying current on your ongoing mortgage payments. This means that you’ll need to pay an increased amount each month until you’re back to where you should be at. Most repayment plans are usually constructed to last for between 3 and 6 months, though there are circumstances where a lender will agree to a lengthier period of repayment. This isn’t usually common, because most borrowers will find it a struggle to make more substantial payments over an extended period.
Without Lender Approval
You’ll be managing your mortgage through a servicer, and it’s possible that you won’t have to get the agreement of your lender to have a repayment plan worked out. If we can make a smaller adjustment to your existing payment plan, and for a relatively short period of time, the servicer might be able to agree to the new terms on their own. For more significant changes, and a longer repayment plan, expect to deal with the lender. We find it preferable to get something sorted without lender approval, as it substantially speeds up the process.
When you try to pursue a repayment plan course of action, it’s important that you carefully assess your current financial situation to determine the financial strength you have moving forward. This repayment plan is only going to work if you’re in an improved financial situation which allows you to pay more substantial payments. Many of these repayment plans will demand that you pay hundreds, and sometimes thousands of dollars more on your mortgage every month. We’ll help you assess your situation to make sure that you’re not going to be overextended.
The principal benefit of a repayment plan is that you’ll be avoiding foreclosure. This process is serious. It would mean the loss of your property and severe financial restrictions moving forward – thanks to your damaged credit. At Foreclosure Attorney in Westchester NY, we’ll do everything that we can to make sure that foreclosure doesn’t come about. While it isn’t appetizing to pay more on your mortgage each month, if you can manage it, you’ll benefit from the process enormously going forward.