Of the 7 tools available for homeowners to renegotiate the terms of their mortgage, loan modifications are by far the most widely applicable, and the most useful in the type of hard economic times America faces today. The rules about who can qualify for a loan modification are simple:


  • Anyone with an adjustable rate mortgage at a high interest rate;
  • No one with a fixed-rate mortgage at an interest rate lower than today’s prevailing market rate;
  • Just about everyone else between these two extremes, provided you navigate the approval process correctly;


Naturally, most homeowners fit into the third category. These homeowners can in turn be divided into two sub-groups:

  • Homeowners qualifying for government assistance programs, like the Obama Administration’s Home Affordable Modification Program (HAMP). These homeowners must have a total unpaid mortgage debt on all properties that is less than $729,750.
  • Homeowners not qualifying for government assistance programs, who have a total unpaid mortgage debt in excess of $729,750.



mortgage modification simple rule for pursuing a loan modification with your lender is this: If you qualify for government assistance programs, than your best course is to pursue the modification yourself. If you do not qualify, than a loan modification is still possible, but you’re probably need some help. Using a professional team like the one at Able Financial Solutions, we can provide you with all of the tactics you need to obtain a strong bargaining position with your lender, and we’ll then use that leverage to create new terms, much lower rates, extremely low monthly payments and a completely manageable, modified mortgage.



Keep in mind that, even if you do not qualify for direct government assistance…. Many policies at the state and federal level have created powerful incentives for your lender to accept your request for a loan modification. Just because it is best to tap a professional firm like Able Financial Solutions for help negotiating with your lender doesn’t mean that you don’t have a strong argument. The Obama Administration has stated as policy that “No one should spend more than 38% of their total monthly income on mortgage payments,” even if that’s just on investment properties, and many experts acknowledge that most mortgages in the America are at interest rates up to 2% higher than they should be.


To put it simply, you have room to negotiate, and the conditions are right for you to succeed. Get started today bylearning about the loan modification process.

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