What modification options will be available to borrowers?
Under The Litigation Law Group Lender Litigation Program, mortgages would be restructured/modified into sustainable mortgages permanently capped at the current Freddie Mac survey rate for conforming mortgages (now about 6.5% interest rate). This restructured mortgage would be designed to achieve sustainable payments at a 38 percent debt-to-income (DTI) ratio of principal, interest, taxes and insurance. To reach this metric for affordable payments, restructured mortgages will require a combination of interest rate reductions, extended amortization periods, and principal forbearance. These are general objectives. This program is not a hardship request but a negotiated settlement based upon borrowers complaint for lender fraud and other lender violations of California Law. Keep in mind that Lenders are currently writing off principal mortgage debt in short sales and through the foreclosure process. When the property becomes and REO Lenders are writing off additional principal debt when th
