Whether a mortgage modification is temporary or permanent depends on the investor guidelines and how the loan was written. Mortgage companies, based on these investor guidelines as well as the loan’s specific criteria, may offer a mortgage modification for a temporary period of time before the payments revert back to the original mortgage terms. Alternatively, some mortgage modification agreements will allow for the terms of the mortgage to be changed permanently, so the changes will be in effect for the duration of the mortgage.
A mortgage company may offer a temporary modification as a trial period to determine if the homeowner is again capable of making timely monthly payments. However, this can be misleading, because even if the homeowner follows the conditions set forth in the temporary mortgage modification, it does not guarantee that the application for a permanent mortgage modification will be granted. This is just one of the many reasons why homeowners may find it useful to seek the assistance of an experienced professional to help them understand the terms of the mortgage modification.
The Mortgage Modification Center
If you have any questions regarding a mortgage modification, please reach out to the Mortgage Modification Center at (401) 467-7998 for your free initial consultation. Attorney Simonian has helped hundreds of families stay in their home by modifying their current mortgage.
Attorney John S. Simonian is a Rhode Island and Massachusetts lawyer who specializes in bankruptcy law and mortgage modifications. Click here to learn more about Attorney Simonian.