What happens if you are 5 months behind in your mortgage payments?
Get Legal Help Today
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
What happens if you are 5 months behind in your mortgage payments?
I am currently behind in my mortgage repayments. I am waiting for news for a home loan modification program. What happens when you are this far behind?
Asked on October 2, 2010 under Real Estate Law, New York
Answers:
Mark Monroe
Answered 13 years ago | Contributor
Only 9% of all loan mods are approved and 50% of those go into default within 12 months. The reason is that banks are not reducing enough of the payment to make a difference. Freedom Legal Plans has a program where you can stay in your home for a flat rate per month while their network of attorneys work on re negotiating your loan with your banks. Give them a call at 888-811-2255 and see if you qualify for a free case analysis.
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 13 years ago | Contributor
Once you are behind AT ALL on your mortgage, you are in default of your obligations. That means the lender can (1) foreclose on your home; and (2) sue you for the money you owe. If you're five months behind, they could do either or both at any time. If you haven't done so already, try to discuss your situation with the lender to get them to agree to give you forebearance for a time, while you wait to see what happens with the modification program. Essentially, you are in a situation where legally you are in the wrong and it's up to the other side, the lender, what action(s) they want to take. You don't have a right to not pay while waiting for a loan modification or other program, except to the extent the lender itself agrees to allow you to defer or reduce payments.
IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.