Mortgage Modification Foreclosure Defenses

Mortgage Modification Foreclosure Defenses

In difficult financial times it is common for homeowners to seek a “modification” of their existing home loan.  At Sadek and Cooper Law Offices we aim to provide our clients with the best options and strategies to make their homes affordable and avoid mortgage foreclosure.  A mortgage modification is available to a homeowner who may be struggling and provides a restructure of the existing loan.

A mortgage modification may include placing mortgage arrears, interest, delinquent taxes and/or insurance in the principal balance. Further, a mortgage modification may reduce the interest rate on the subject loan. Although a mortgage modification can lead to a reduced monthly mortgage expenses, generally it results in a lengthened mortgage repayment term.  There are several types of Mortgage Modifications available.  Below is a list of mortgage modification programs that Sadek and Cooper utilizes to assist our clients:

HARP: “Home Affordability Refinance Program” allows homeowners to refinance their existing mortgage even if the home is worth less than the mortgaged amount.  HARP is also known as the “Obama refinance program.” The main advantage of the HARP is the ability to refinance an otherwise “under water” home, but the requirements are more stringent and as follows:
a. The homeowner is current on their mortgage,
b. The home is a primary residence, second home or up to a 4 unit investment property,
c. The mortgage was originated before May 31, 2009,
d. The Mortgage is backed by Fannie Mae or Freddie Mac and
e. The loan to value is 80% or more (meaning that $100,000.00 valued home has a mortgage of $80,000.00 or more).

How Can “HAMP” Help You Stay in Your Home?

HAMP: The “Home Affordable Modification Program” is the most common type of Mortgage Modification and is for homeowners who are in danger of facing foreclosure.  To qualify for HAMP you must have a Fannie Mae or Freddie Mac mortgage and may owe up to $729,750.00 on your primary mortgage.  Although it might be extended, HAMP is set to expire on December 31, 2016.

PRA is Another Foreclosure Defense Option

PRA: The Principal Reduction Alternative Program works with HAMP and encourages mortgage servicers to reduce the principal on mortgages not backed by the government.  To qualify for PRA you must have a home that is worth less than the mortgaged amount and have a mortgage payment greater than 31% of your gross income.  Also the mortgage borrower must prove that they are facing a financial hardship.  To qualify for a PRA the mortgaged amount limit is $729,750.00 and the loan must have been originated before 2009.

HAFA is Also Available

HAFA: The Home Affordable Foreclosure Alternatives” is for those who are forced to transition out of homeownership.  Inside HAFA a homeowner may engage in a short sale or deed in lieu of foreclosure.  HAFA mortgage limits are also $729,759.00 and the subject mortgage must have originated on or before January 1, 2009.

The Up Program

UP: The Home Affordable Unemployment Program is for homeowners who are currently unemployed and are seeking a temporary mortgage payment reduction.  Under UP the government may reduce your payments up to 31% of your income or suspend your payments for up to 12 months.  To qualify for UP you must be eligible for unemployment benefits, have no previous HAMP modifications, owe no greater than $729,750 on your home and have a mortgage originated prior to 2009.

The 2MP Option

2MP: The Second Lien Modification Program is designed for homeowners struggling to make mortgage payments on a home equity loan, home equity line of credit.  To qualify the borrower must have missed at least 3 consecutive mortgage payments and have a home that is worth less than the total mortgaged amount and have a mortgage payment greater than 31% of your gross income.  Also the mortgage borrower must prove that they are facing a financial hardship.

At this time as our real estate economy is showing signs of approval it is not certain whether HAMP will be extended beyond December 31, 2016.  It is advised that you speak with an attorney to further discuss all of your options regarding a potential modification or other legal strategy.

To speak to an attorney regarding saving your home from foreclosure and the options available to you, please contact one of our offices.

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Thomas Wright
Thomas Wright
15:09 24 Apr 18
Sadek and Cooper Law did a great job on my bankruptcy case. I really appreciate their assistant. Thank you
Kelly McKenna
Kelly McKenna
11:57 19 Apr 18
This form - specifically Yoninah Orenstein and Patrick Cooper are PHENOMENAL. They were great to work with, very fair with legal fees, and successful in getting an excellent settlement for my divorce (short term marriage
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Dessiana Cruz
13:11 04 Apr 18
I was nervous about bankruptcy, but from the moment I stepped in your office I felt at ease. This process was so easy with your help, that yesterday I was talking to my coworkers about it and recommending your firm to them. You make something that’s scary seem easy and I thank you so much for helping me!
Valerie Nesbitt
Valerie Nesbitt
14:51 03 Apr 18
Sadek and Cooper have been excellent. Everyone has been extremely helpful and patient. The lawyers I have worked with, Matt and Brad, are extremely knowledgeable. I felt very comfortable with them handling my case.
Marlena Lucas
Marlena Lucas
16:08 02 Apr 18
Very simple. Any time I had questions, they were answered quickly. The lawyers are just great. Just a fast painless process.
James Smith Sr
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13:19 14 Mar 18
Everything has been great. Really awesome job with my case... You and your staff have done a perfect job in my opinion.
Michkel Davis
Michkel Davis
17:02 09 Mar 18
Mr. Sadek was the best and most thorough lawyer I’ve ever met. He’s very human and caring about our case. His whole staff is great too. Highly recommend...
Tamika Richardson
Tamika Richardson
14:56 01 Mar 18
My bankruptcy went very smoothly with your firm. No issues. You are all very nice. That’s why I recommend my sister to your firm and your now helping her too! Thanks again.
Geraldine Ross
Geraldine Ross
14:14 28 Feb 18
This is an Excellent firm to work with; my questions were answered in a timely manner and I felt very supportive in handling my bankruptcy. I would highly recommend this firm to others who have found themselves in a position like mine.
Lavern Baker
Lavern Baker
17:03 23 Feb 18
You are all super lawyers. Brad and Matt made me feel comfortable. Every one in your office so nice and just made it easy. You’re the best!
peter b
peter b
19:42 21 Feb 18
Thank you, Sadek and Cooper Law offices for your dedication on my behalf. I appreciate Matthew and Patrick and your staff and all that everyone did to support me in this legal matter. You took an embarrassing, sad experience, for me, and turned it into a successful solution without all the emotional pain expected. After dealing with a loan modification company for over eighteen months without going to an attorney first that is the biggest mistake anyone can make. The Modification Companies set out to sell you lies, broken promises and dilute the homeowner's assets with no knowledge of any kind of law. I can't stress enough stay away from Modification companies, as a Military Veteran and family man, protect you or your family best interest. Go directly to Sadek and Copper you will not regret it! This firm moves with Super speed and diligence protecting you and your family's the entire process, even after watching some of these other attorneys in the courtroom appearing to mishandled their clients’ cases before the Trustee. You made it easy and I’m finally getting my financial life back on track! Thank you for your prompt replies to me, your clear information and preparation needed when at the courthouse. I would of course recommend you to others and I am glad you were the one who had my case. Kind genuine law firm who treats you like family. God bless you all and I pray for your continued success in your field of expertise. This firm is Super Lawyers for a reason. They are the best at what they do! Pete
Doug Tinlin
Doug Tinlin
06:55 15 Feb 18
Brad Sadek gave me hope when he decided to handle my mortgage for enclosure defense. I had exactly 10 days left of the 30 days ultimatum given me, but he was able to bargain for an extra 30 days for me to pay up. That duration turned out just right.
Jacinth Jacinth
Jacinth Jacinth
16:07 31 Jan 18
Excellent service. Brad and Matt were outstanding and friendly. They helped me through this. I’ve never met attorneys like these. Thank you!
julie njoku
julie njoku
12:29 24 Jan 18
Brad Sadek is excellent!. He understands and he's fair. You feel like you have someone fighting for you. The staff is friendly, professional, and courteous. These guys are the best at what they do !
Owen Black
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20:14 09 Jan 18
Thanks for the great service! I would recommend this firm highly. Throughout the years I have been helped by this firm greatly and very much appreciated.
Steven Rychalsky
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15:30 09 Jan 18
Sadek and Cooper law office was a wonderful experience to work with. Bankruptcy is a difficult experience but they helped with the stress so much and made it easy. I would recommend Sadek and copper too anyone.
Chris Kourelias
Chris Kourelias
19:09 28 Dec 17
Working with both Brad & Matthew was a pleasure. Both gentlemen are extremely knowledgeable and helpful in providing me the right assistance needed to make the correct decision to benefit me in the long run. I would recommend both candidates to anyone looking for assistance with a reputable law firm.
Jennyfer Santana
Jennyfer Santana
21:17 21 Dec 17
Highly Recommended. Matt & Brad assisted with my case. I felt comfortable throughout the entire process. Matt was very understanding, patient, and ensured he answered all my questions! Both great guys and very friendly! It was a pleasure working with Matt and Brad.
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