QuickModPro

1. What is a Principal Reduction Program (PRP)? 
A PRP is a program designed to help people who owe more on their home than it is worth.  It is considered a “Property Relief” program for people who are “upside down” in their mortgage (negative equity) , meaning the property is worth less than their current mortgage.  Principle reduction works to lower the principal mortgage amount on your home to match the true current value. 

 

2. Why would my bank agree to a principal reduction? 
Your bank can now utilize Government TARP funds (Troubled Asset Relief Program) to help recoup their losses after agreeing to reduce a homeowner’s principal mortgage amount.  Banks are eager to work with homeowner’s because foreclosure is detrimental to both parties involved. 

 

3. What is a loan modification and who qualifies for one?
A loan modification is a permanent change in one or more terms of a borrower's home loan and allows the loan to be reinstated. The purpose of a modification is to ultimately and significantly lower monthly payments. The end result is a payment that the homeowner can afford.

Anyone that is having trouble paying their existing loan is a candidate for loan modification. In today's housing conditions banks are willing to work with mortgage holders that are having trouble paying their mortgage. High probability candidates for a home loan modification include homeowners currently in an adjustable rate mortgage, stuck with a high interest rate, are upside down on their home, and/or experiencing any kind of hardship.

 

4. What are some possible outcomes for a loan modification?
All loan modifications are unique in nature and the resulting resolutions will vary. By using QuickModPro to navigate through the loan modification process, any combination of these outcomes is possible:

• Lowering your interest rate
• Principal balance reduction
• Converting an adjustable rate to a fixed rate
• Extending the length of the loan
• Making your mortgage current on past due amounts
• Forbearance agreement
  
  

5. Do I currently need to be delinquent on my payments to get approved for a loan modification?
No, most lenders are now accepting applications from homeowners who are not currently delinquent. Borrowrers interested in modifying their existing home loan must prove to their bank that will no longer be able to afford the loan payment under the terms of their loan or they are considering walking away because they owe more than their home is worth. It is advisable to contact your lender as soon as possible to start the loan modification process, regardless of whether you are delinquent or not.

 

6. Can I do a loan modification myself or should I pay someone to represent me?
If you follow the quick and easy steps outlined in QuickModPro you will not only have modified your home loan, but you will have saved hundreds or thousands of dollars. Our software will provide you with all the resources you need to succeed.

A loan modification firm may charge you fees in excess of $5,000 for their services. In all reality they may just be submitting documents to a bank that you yourself are capable of submitting on your own. Banks are more than willing to help their clients with a loan modification without a loan modification company or attorney.

 

7. Why will a loan modification work for me and will it save me money?
The government has asked for all lending banks to help in the foreclosure epidemic and help modify mortgages for all troubled homeowners. A loan modification can quite possibly save you hundreds or thousands of dollars a month. Remember, a loan is typically for 30 years. So the loan modification that saves you $500 a month, really equals $150,000 over the life of the loan.

 

8. Why would my bank be willing to do this for me?
Your bank will agree to a loan modification program if it is more cost effective to modify your home loan in order to help you afford to keep making payments, as opposed to the cost of a foreclosure proceeding. Banks are saddled with record high foreclosures, and with the continuing decline in home values, the lender will probably lose more money foreclosing and attempting to sell your home rather than taking a small loss on the loan, because you keep making loan payments to them.

 

9. What if i owe more on my mortgage than my house is worth?
This could actually work in your favor. QuickModPro has dedicated an entire section of our guide to this specific scenario. Some banks are engaging in a practice called principal reduction, which means the bank will discount the total loan amount to the current value of your home. Due to the high rate of foreclosures throughout the country, this option has become increasingly attractive to lenders. Banks are generally willing to modify existing terms with the borrower rather than going through a foreclosure proceeding.

 

10. What will QuickModPro do for me?
The minute you own QuickModPro, you will possess all the tools and resources of an expensive home loan modification company. Our user guide, self help videos and detailed loan modification software will help you put together a complete loss mitigation package to submit to your lender. We provide, in detail, the steps required to help you stay in your home.