Why is it helpful for a homeowner to request a “workout” or modification of an existing mortgage?
Lenders are increasingly responsive to requests by homeowners for modification of mortgages. The lender can modify your mortgage to extend the length of your loan or take other steps to reduce your monthly payments. One solution is to add the past-due amount into your existing loan, financing it over a long term. Depending on your situation, your lender may be willing to lower your interest rate, lower your monthly payment, or enter into a repayment agreement for missed payments. Because foreclosures involve enormous costs and losses for lenders, lenders are frequently willing to enter into arrangements that will enable you to save your home. Our Workout Request Letter is available for immediate download in MS Word format.
